Breach of contract disputes common for Texas business owners in the health industry

On Behalf of | Sep 9, 2021 | Business Litigation

As a business owner in the medical field, you will likely have to enter many agreements with vendors, suppliers, service providers, and even fellow business owners. But no matter how seemingly specific the terms of the contract are, you may still find yourself in a disagreement with the other party involved in the deal.

What is a breach of contract?

When a party fails to uphold its part of an agreement, that party has breached the contract. Some breaches are material, in that they are related to the heart of the contract, while other breaches are minor. Some examples of breach of contract that may occur among business owners in the health industry include:

  • Failure to deliver medical equipment within the time frame specified in the agreement.
  • Failure to provide janitorial or food services in accordance with the terms of the contract
  • Failure to pay employees wages owed
  • Providing medical equipment that does not meet the agreed-upon standard of quality
  • Failure to follow contract rules for dissolving the partnership or withdrawing from the partnership
  • Failure to provide quantity of PPE specified in contract

Mediation may be beneficial to settle breach of contract disputes

When a breach of contract occurs, the aggrieved party’s first instinct may be to go after the breaching party in court. However, this is not always the best way to resolve the issue. In many cases, both parties have breached the contract and are entitled to damages. Mediation or arbitration has proven to be successful in many cases and can help ensure that all parties are being heard and can recover the damages they are entitled to. If mediation proves to be unsuccessful, litigation may be the best and only option. An attorney specializing in business/commercial law can help you decide what steps to take following a contract dispute.