When a contract exists, there are automatically points that must be fulfilled by both parties. However, it can happen that some rules are not fulfilled by one of the parties, which is then called a breach of contract. 

This is a topic where information is extremely important, as your rights may be at stake. 

What constitutes a breach of contract, what are the consequences of such a breach, and indeed what the law says about breach of contract are some of the topics to be covered throughout this article. 

A breach of contract occurs when one or more parties to a legally binding agreement fail to fulfil their obligations as outlined in the contract.

A breach of contract occurs when one of the parties involved in a contract fails to fulfil what is stipulated in the contract. Within this breach of rules is, for example, the non-payment of sums due. 

What does the law say about breach of contract?

Breach of contract entails a set of behaviours that confirm the failure to comply with what has been agreed in a contract. Therefore, there are consequences for those who do not comply with what is stipulated in a contract: 

• The injured party can claim compensation for the damages suffered, as they have the right to do so.;
• If there are delays in fulfilling the duties expressed in the contract, compensation may be demanded by the injured party.

What is considered a breach of contract?

Whether through failure or delay in complying with stipulated rules in a contract, this constitutes a breach of contract. 

When can I terminate the contract for breach?

The termination of the contract is the extinction of this document. the contract can be terminated in the event that the defaulting party expressly states that they will not fulfil their contractual duties, or when the aggrieved party withdraws the case. 

A principal diferença entre incumprimento total, parcial e atraso reside na forma como um acordo ou obrigação não é cumprido. * **Incumprimento Total:** Ocorre quando uma parte não cumpre absolutamente nenhuma das suas obrigações contratuais ou legais. É uma falha completa em executar o acordado. * **Incumprimento Parcial:** Acontece quando uma parte cumpre algumas, mas não todas, as suas obrigações. Parte das obrigações é executada, mas outra parte não. * **Atraso:** Refere-se à falha em cumprir uma obrigação dentro do prazo estipulado. A obrigação é eventualmente cumprida, mas não no tempo combinado.

In breach contractual Three types of breach are distinguished, which vary according to the magnitude of the breach. Thus, the main differences between the various types of breach are: 

Total failure it occurs in situations where there is a breach of some kind, such as a breach of a deadline.

Partial non-compliance it occurs when part of the obligation stipulated in the contract is fulfilled. 

Late breach There is a fulfilment of an obligation, but outside the stipulated date. For example, a payment is not made within the agreed timeframe. 

Substantial performance

Substantial performance is a way to prevent the suspension of a contract, even if there is a breach of contract. In other words, when a part of a certain obligation is not fulfilled, but it is not of great importance, it does not make sense and it is not possible to terminate a contract.

This is a way to prevent contracts from being voided due to minor breaches, considering the points that were adhered to, thereby avoiding more extreme decisions that could be more detrimental to the parties involved. 

What are the rights of the injured party?

The party harmed by the contractual breach has the right to claim compensation, a suspension of the contract with compensation, or even to demand that the contract be fulfilled. 

For example, in situations of definitive breach, the prejudiced party may decide to terminate the contract. In other cases, the injured party may demand that the points stipulated in the contract be fulfilled. 

What are the out-of-court legal procedures?

When there is a breach of contract, there are ways to deal with the situation without having to go to court:

• Renegotiate the terms outlined in the contract.;
• Mediation of the situation, in order to reach a consensus without the need for judicial proceedings;
• Extrajudicial Procedure for Regularisation of Non-Compliance Situations this happens through credit institutions, where contractual defaults are assessed and solutions to regularise the situation are proposed. 

When to proceed to legal action?

Move to a Legal proceedings In cases of contractual breach, it is a scenario that should only be resorted to as a last resort. However, in situations where there is a definitive breach and the defaulting party is unwilling to fulfil their obligations, or when delays occur in the process causing contractual duties to not be met within the stipulated timeframe. 

Do I need a solicitor for contract breach?

Mm Solicitor is very important in a situation of contractual breach. In addition to protecting rights, legal advice and bureaucratic assistance, a Solicitor is someone duly qualified to meticulously analyse a contract and find flaws in it, thereby ascertaining if there is a breach or what type is involved. 

To find out more, please contact Lawyers in Braga and have access to qualified and prepared professionals to provide you with all the help you need, regarding contractual breaches. Our professionals are skilled to accompany the entire process, with the fight for your rights as the main focus. 

Conclusion 

Breach of contract refers to the failure to fulfil obligations present in a contract, by one of the parties involved. 

Once a breach of contract has occurred, the injured party has the right to demand fulfilment of the obligations, or to seek damages or compensation and termination of the contract. However, these scenarios depend on whether there is a total breach of obligations, where the breaching party refuses to fulfil their duties, or if there is partial fulfilment. 

The presence of a lawyer is of great importance, as this professional is qualified to deal with issues related to the subject. Assistance in analysing the interpretation of contracts, or even legal advice, are some of the areas in which a lawyer acts when it comes to contractual compliance.