Suing for Breach of Contract

A contract is an agreement between two or more parties that creates an obligation to do or not do something. A breach of contract is the existence of an agreement or bargained-for exchange where one of the parties fails, without a legally valid excuse, to live up to his or her responsibilities under the contract.

A breach of contract usually occurs by one or more of the parties in one of the following ways:

• Failing to perform as promised.
• Making it impossible for the other party to perform.
• Making it known there is an intention not to perform.

A contract may be breached in whole or in part.

Statute of Frauds
It is always best, although not always required, to have a contract in writing. Nearly all states have a law called the Statute of Frauds that lists the types of contracts that must be in writing to be enforceable. The purpose of these laws is to prevent fraudulent claims from arising. Although Statute of Frauds laws will vary from state to state, the most common examples of contracts that must be in writing are:

• Sales of real property.
• Promises to pay someone else's debt.
• A contract that takes longer than one year to complete.
• Property leases for more than one year.
• Contracts for more than a certain amount of money, the amount of which is set by the state.
• A contract that will go beyond the lifetime of the one performing the contract.
• The transfer of property upon the death of the party performing the contract.