breach of contract

Breach of contract is a cause of action or claim in civil litigation (lawsuits) that provides the legal basis for a person or entity to recover its damages/losses when another person or entity breaches an enforceable written or verbal agreement (contract) by breaking one or more promises in the agreement.

In Michigan, a breach of contract occurs when one party fails to fulfill their obligations under a binding agreement, whether it's written or verbal. To successfully claim a breach of contract in a Michigan court, the plaintiff must typically prove the existence of a valid contract, the plaintiff's performance or excuse for nonperformance, the defendant's breach of the contract, and resulting damages. Michigan follows the common law principles governing contracts, and the Michigan Compiled Laws (MCL) also contain statutes that may apply to specific types of contracts, such as sales of goods under the Uniform Commercial Code (UCC). The statute of limitations for breach of contract in Michigan is generally six years for a written contract and four years for a sale of goods under the UCC. If a breach occurs, the non-breaching party may seek remedies such as damages, specific performance, or rescission of the contract.

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Civil litigation