What Is Needed to Prove a Breach of Contract Claim?

When someone breaches a contract, it can be frustrating, stressful, and even financially draining. Contracts are the foundation of many business and personal relationships, and when one party fails to honor their terms, it can feel like a betrayal of trust. The U.S. Department of Justice once reported nearly 366,000 civil contract disputes in a single year, highlighting just how common these issues are. At Crell Law, we understand this frustration and want to help you seek justice.

In this post, we will guide you through what’s required to prove a breach of contract claim, including the necessary elements, key evidence, and actionable steps you can take. With this information, you can take back control and hold the other party accountable for their actions.

What is a Breach of Contract?

A breach of contract refers to when a party of a legally binding agreement fails to fulfill their obligations under its terms. This can include failing to deliver goods or services, not meeting payment deadlines, or violating any other agreed-upon terms. A contract can be written, oral, or implied and does not necessarily have to be formalized by a lawyer.

Key Elements for Proving a Breach of Contract

If you believe someone has breached your contract, proving it in court requires demonstrating four essential elements:

1. Existence of a Valid Contract

You must first prove that a valid contract exists. This includes showing that the contract had:

• An offer
• An acceptance
• Consideration (something of value exchanged between the parties)

2. Breach of Contract Terms

Next, you need to prove that the other party failed to meet their contractual obligations without lawful justification. Breaches typically fall into three categories:  

• Material Breach: A significant failure that undermines the contract’s purpose, such as a contractor failing to build your home as agreed.  
• Minor Breach: A smaller error that doesn’t defeat the overall intent of the contract, such as delivering a product slightly late.  
• Anticipatory Breach: When a party indicates, through words or actions, that they won’t fulfill their obligations before the deadline.

3. Causation

Causation establishes a connection between the breach and the damages you’ve suffered. You must demonstrate that the breach directly caused your losses.  

• Direct Causation Example: A vendor fails to deliver materials on time, leading to significant revenue loss.  
• Indirect Causation Example: The delay forces you to pay higher costs to secure an alternative supplier.

4. Damages

Finally, you must show that the breach resulted in quantifiable losses. Common types of damages include:  

• Compensatory Damages: Reimbursement for actual financial losses.  
• Consequential Damages: Compensation for indirect losses, such as lost profits caused by the breach.  
• Liquidated Damages: Pre-determined amounts outlined in the contract to address specific breaches.

Carefully document and quantify these damages to strengthen your case.

By clearly demonstrating these elements, you can build a solid foundation for proving a breach of contract and seeking appropriate remedies.

Types of Evidence that Can Support Your Claim

Evidence is vital to winning a breach of contract claim. Here are the types of evidence you’ll need to strengthen your claim:

1. Documentary Evidence

• The original contract or agreement.  
• Emails, letters, text messages, or other communication showing the terms and breach.  
• Receipts, invoices, or financial records that support your claim of damages.  

Having these documents in an organized format will make it easier to present your case in court.

2. Witness Testimony

If relevant, witnesses who can attest to the contract’s terms, breach, or damages can add credibility to your case. For example, coworkers or advisors who were involved in drafting the contract might provide useful testimony.  

3. Expert Testimony

Complex cases may require expert testimony. For example, an industry expert could explain how the breach harmed your business operations, or a forensic accountant could calculate the full financial impact.  

Steps to Take If You Believe a Contract Has Been Breached

If you believe a contract has been breached, follow these steps to strengthen your position:

Step 1. Review the Contract

Carefully read the terms to ensure your interpretation aligns with the agreement. Are there clauses relating to penalties, dispute resolution, or specific performance? Understanding your contract is pivotal before pursuing a claim.

Step 2. Document Everything

Keep detailed notes of all communications and actions pertaining to the breach. This includes saving emails, contracts, receipts, and notes from meetings or phone conversations.  

Step 3. Seek Legal Advice

Finally, it’s essential to consult with an experienced attorney. Breach of contract cases can become complicated, and the legal experience of a professional can make all the difference. They can also litigate on your behalf if things escalate to that point. 

Protect Your Rights with Crell Law

Proving a breach of contract claim requires demonstrating the existence of a valid contract, identifying the breach, showing causation, and quantifying damages. Tackling this process alone can be challenging, but you don’t have to face it yourself.

At Crell Law, we are highly trained in contract disputes and have the experience to guide you through every step, ensuring you have the evidence needed to secure justice. Contact us today to discuss your case and protect what’s rightfully yours.