Contracts form the foundation of most business relationships. When one party fails to fulfill its obligations under a legally binding agreement, the consequences can disrupt operations, harm reputations, and result in financial losses. In Kansas, businesses that suffer from a breach of contract have several legal remedies available to help recover damages, enforce agreements, or unwind a deal gone wrong.
Understanding your rights under Kansas contract law is critical for protecting your business interests. This blog explores the common types of breaches, the legal remedies available to businesses, and how working with an experienced Olathe contract dispute attorney can make all the difference.
What Constitutes a Breach of Contract in Kansas?
Before a business can pursue a remedy, it must prove that a breach occurred. This means showing that a valid contract existed, that your business upheld its obligations, and that the other party failed to meet their responsibilities.
A breach can take several forms, including:
- Material breach – A significant failure defeating the contract’s purpose.
- Minor breach – A partial failure where the core purpose is still fulfilled.
- Anticipatory breach – When a party indicates they won’t fulfill the contract in advance.
- Actual breach – A party fails to perform as agreed by the due date.
Proving breach requires documentation, communication records, and a clear understanding of contractual terms.
Legal Remedies Available to Kansas Businesses
When a contract is breached, Kansas law allows businesses to seek various remedies depending on the nature of the agreement and the type of breach.
Compensatory Damages
Compensatory damages are the most common remedy. These aim to put the non-breaching party in the position they would have been in had the contract been fulfilled.
This can include:
- Lost profits.
- Reimbursement for expenses.
- Diminished business value due to the breach.
To be successful, damages must be proven with reasonable certainty, not speculative projections.
Liquidated Damages
Some contracts contain a clause specifying a predetermined amount to be paid in the event of a breach. Kansas courts will enforce these liquidated damages provisions if they are reasonable and not punitive.
Businesses should ensure these clauses are properly drafted to be enforceable and not deemed an unlawful penalty.
Specific Performance
In some cases, monetary compensation isn’t enough. Specific performance is a remedy that compels the breaching party to fulfill their contractual obligations.
This is often granted in contracts involving unique goods or services, such as real estate or intellectual property, where substitution isn’t possible.
Rescission and Restitution
If continuing with the contract is no longer feasible, a business may seek rescission—cancellation of the agreement—and restitution—repayment for any benefits conferred.
This remedy is often used when the breach goes to the heart of the agreement and the business wants to be restored to its original position.
Work with a Kansas Business Law Attorney to Protect Your Rights
Breach of contract cases can become legally complex, especially when large sums or high-stakes agreements are involved. Having a knowledgeable Kansas business attorney by your side ensures your contracts are enforceable, your evidence is strong, and your remedies are pursued strategically.
At Martin Law Group,LLC, we help Kansas businesses of all sizes protect their interests in contract disputes. Contact us today to discuss your legal options and how we can help you seek the remedy your company deserves.