Breach of Contract

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In general, a breach of contract is a legal cause of action where a binding agreement or exchange is not honored by one or more of the parties to the contract by not abiding to it or interfering with the other parties performance. If one party of the contract does not fulfill their contractual duties, or told the other party that they plan on not abiding to the contract, this is now a breach of contract. California state law requires that contracts involving the purchase and sale of real estate property, or any other matter involving real estate issues, needs to be in writing. Often times, disputes can arise over real estate contracts for many reasons including parties not abiding to the specified rules or contingencies stated in the contract. Real estate transactions and disputes are often large investments which is why you need a competent lawyer to guide you through the process. is a State Bar of California-certified lawyer referral service that can put you directly in contact with an experienced lawyer near you. A breach of contract is usually a time sensitive matter which is why it is important to consult with an attorney immediately. Whether you are faced with a summons for a breach of contract, or need to file one yourself, it is immensely important to have strong legal representation on your side. Following a breach of contract, there are a few options for resolution to this. These include arbitration, mediation, and small claims court. Arbitration is a process that involves submitting the dispute to an individual, who is not a court officer, who decides the matter. If an arbitrator is to be used, it must first be specified in the terms of the original contract. Mediation is when a third party helps the disputing parties to come to an agreement.

Breach of Contract CA Code

3287. (a) Every person who is entitled to recover damages certain, or capable of being made certain by calculation, and the right to recover which is vested in him upon a particular day, is entitled also to recover interest thereon from that day, except during such time as the debtor is prevented by law, or by the act of the creditor from paying the debt. This section is applicable to recovery of damages and interest from any such debtor, including the state or any county, city, city and county, municipal corporation, public district, public agency, or any political subdivision of the state. (b) Every person who is entitled under any judgment to receive damages based upon a cause of action in contract where the claim was unliquidated, may also recover interest thereon from a date prior to the entry of judgment as the court may, in its discretion, fix, but in no event earlier than the date the action was filed.

3288. In an action for the breach of an obligation not arising from contract, and in every case of oppression, fraud, or malice, interest may be given, in the discretion of the jury.

3289. (a) Any legal rate of interest stipulated by a contract remains chargeable after a breach thereof, as before, until the contract is superseded by a verdict or other new obligation. (b) If a contract entered into after January 1, 1986, does not stipulate a legal rate of interest, the obligation shall bear interest at a rate of 10 percent per annum after a breach. For the purposes of this subdivision, the term contract shall not include a note secured by a deed of trust on real property.


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Breach of Contract
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