Contract Disputes
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Contract disputes can arise for a number of reasons. They usually come up when one party fails to perform their obligations or breaches the terms of the agreement, or, where both sides disagree on the interpretation of the contractual terms.
A contract dispute solicitor can assist at various stages of the dispute, from prevention and negotiation to formal legal proceedings. Their role is to provide legal guidance, promote their client's interests, and work towards a resolution that aligns with the terms of the contract and the law.
A contract dispute arises when the parties involved in a contractual agreement find themselves in disagreement. This situation commonly occurs when one party holds certain expectations regarding the fulfilment of contractual obligations by the other party, only to face disappointment when those expectations are not met. Alternatively, a contract dispute may surface when one party does not follow their duties, resulting in a breach of the previously agreed terms
There are a number of ways you can settle a contract dispute. They all depend on the willingness of both parties to resolve the dispute, the matters being disputed and whether you want to go to court or settle outside of court. Legal experts can guide parties through the pros and cons of each method, ensuring a tailored approach to their specific situation.
You could go through negotiation where you have open discussions between parties or their representatives which can often lead to successful resolutions. This cost-effective and quick method is particularly beneficial for preserving ongoing commercial relationships.
In mediation, a neutral third party, known as the mediator, assists parties in reaching a mutually agreeable settlement. This process encourages cooperation and compromise.
Arbitration is a more formal and binding method where an arbitrator decides the case. The decision, except in limited circumstances, cannot be appealed. This process is less formal than litigation, giving parties greater control.
Common in the construction industry, adjudication provides a quick way to gain clarity on an issue without disrupting ongoing projects. An adjudicator's decision is binding unless later determined through arbitration.
While litigation is often considered a last resort, there are instances where it becomes unavoidable. Before proceeding to court, parties are expected to follow a 'Pre-action Protocol,' encouraging the exchange of information for a swift out-of-court settlement. Failing to adhere to this protocol may result in penalties on costs, even if the case is won.
Dealing with a contractual dispute can be a daunting prospect, but the good news is that there are alternatives to the long, expensive, and uncertain process of litigation.
Our contract dispute solicitors have extensive experience in all kinds of disputes and aim to assist with a quick resolution often without the need for a formal court procedure.
At GloverPriest, we provide friendly and transparent legal advice. If you would like further advice on contractual dispute matters, please don’t hesitate to speak to one of our expert contract solicitors today. Complete our enquiry form.
Contracts with unclear or ambiguous language are to cause misunderstandings. When terms are open to interpretation, parties may develop differing views which can cause disputes.
When one party falls short in meeting their contractual obligations, disputes can arise. Whether it's a matter of performance, quality, or timeliness, failure to deliver as promised can strain the contractual relationship and lead to disagreements.
Disputes can also emerge when disagreements arise over proposed changes or modifications to the contract. On the other hand, disputes revolving around payment terms, pricing structures, or billing discrepancies are common.
A breach of contract happens when a party fails to fulfil a specified duty or obligation that is outlined in the contract. The severity and impact of the breach, whether minor or material, play a crucial role in determining the course of the dispute.
The very first step in resolving a contract dispute is to communicate the issue to the other party of the contract. It may be that they hadn’t realised that they had breached a term in the contract for instance. They may be able to come up with a solution quickly allowing the contractual relationship to continue on good terms. In this case, it is fair to give the other party an opportunity to fix the problem if it is a minor issue. If the dispute is more severe, the first step may be to lodge a formal complaint. If you are unsure how to proceed with the dispute, it is a good idea to get legal advice from a contract solicitor first.
