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What Are The Remedies for a Breach of Contract in Los Angeles?

January 31, 2025 Legal Team

Employment contracts establish clear agreements between employers and employees regarding job responsibilities, compensation, benefits, and termination conditions. When an employer fails to uphold their contractual obligations, it may constitute a breach of contract, entitling the employee to the following legal remedies.

Seek our Los Angeles breach of contract attorneys at Aegis Law Firm, if your employer has failed to uphold their contractual obligations today. Contact us for a free consultation today.

Employee Remedies for a Breach of Contract in Los Angeles

Many breach of contract disputes are resolved through negotiation or mediation, rather than litigation. Employees can settle disputes privately with their employer or use mediation services through the California Department of Industrial Relations or private arbitrators to seek:

Monetary Damages

Employees can seek financial compensation to cover their losses due to a breach of contract, including:

  • Compensatory Damages: Covers direct losses, such as unpaid wages, benefits, or relocation costs.
  • Consequential Damages: Covers losses caused by the breach, such as lost career opportunities or reputational harm.
  • Liquidated Damages: If the contract specifies a predetermined penalty for a breach, employees may recover those amounts.

Specific Performance

If financial damages do not adequately compensate for the breach, an employee may seek specific performance, which requires the employer to fulfill contractual obligations. This remedy is often used in cases involving:

  • Stock options, profit-sharing, or executive compensation agreements.
  • Unique employment terms that cannot be easily compensated with money.

Reinstatement or Job Restoration

In some cases, an employee may demand reinstatement if they were wrongfully terminated in violation of their contract. This is common when:

  • The contract explicitly guarantees job security.
  • The wrongful termination was based on discrimination or retaliation.

Reinstatement is often sought in public employment contracts or union agreements.

What Constitutes a Breach of Contract?

A breach of contract occurs when an employer fails to fulfill the terms of an employment agreement, which may be written, oral, or implied. Common breaches include:

  • Failure to Pay Wages or Benefits: Not providing the agreed-upon salary, bonuses, commissions, or benefits.
  • Wrongful Termination: Firing an employee in violation of contract terms.
  • Breach of Job Security Provisions: Terminating an employee despite a “just cause” provision requiring a valid reason for dismissal.
  • Failure to Provide Agreed-Upon Job Duties: Changing the employee’s responsibilities significantly without consent.
  • Breach of Confidentiality or Non-Compete Agreements: Employers misuse sensitive employee information or unfairly enforce non-compete clauses (which are largely unenforceable in California).

How a Los Angeles Breach of Contract Lawyer Can Help

If you are facing a breach of contract, hiring our Los Angeles breach of contract attorney can strengthen your case. They have the knowledge and resources to:

Identify Violations

An attorney will review your contract to identify employer violations and potential remedies.

Calculate Damages

They will ensure you claim the full amount of lost wages, benefits, and other damages you are entitled to recover. 

File a Lawsuit

A breach of contract lawyer in Los Angeles will be prepared to represent you in court if settlement negotiations fail.

Protection Against Retaliation

They will also ensure your employer does not punish you for enforcing your rights.

A breach of contract can have serious financial and career consequences. Seeking legal guidance ensures that you recover what you are owed and hold your employer accountable.