When employers fail to uphold their contractual obligations, it can lead to significant legal and financial consequences for employees. At Aegis Law Firm, we specialize in representing employees in breach of contract disputes, ensuring that your rights are protected and that you receive the justice you deserve. Arrange a free consultation today by calling (949) 379-6250 or messaging us online.

What is a Breach of Contract?

A breach of contract occurs when an employer fails to fulfill their contractual obligations. In the context of employment, breaches can take various forms:

Failure to Provide Agreed Compensation or Benefits

Employers must provide the agreed salary or wages on time and benefits promised in the contract, such as health insurance, retirement plans, or paid leave.

Scenario: An employment contract promises certain benefits, such as health insurance, stock options, or bonuses. The employer fails to provide these benefits.
Result: The employee can file a breach of contract claim to recover the promised compensation or benefits.

Unlawful Termination

If an employer terminates an employee without adhering to the contract’s termination clause or without just cause, it is considered a breach.

Scenario: An employee has a contract stating they can only be terminated for specific reasons (e.g., misconduct, poor performance). The employer terminates the employee without providing any of the specified reasons.
Result: The employee can file a breach of contract claim, arguing that the termination violated the terms of the contract.

Violation of Job Duties

If an employer significantly changes an employee’s job duties without consent, it can be a breach.

Scenario: An employee’s contract specifies certain job duties and responsibilities. The employer significantly changes these duties without the employee’s consent, or assigns tasks that are outside the scope of the agreed responsibilities.
Result: The employee can argue that the employer breached the contract by not adhering to the agreed terms of employment.

Breach of Confidentiality

Disclosing an employee’s confidential information contrary to a confidentiality clause is a serious breach.

Scenario: An employer discloses confidential information about the employee or enforces a non-compete clause unreasonably.
Result: Depending on the specifics, the employee may have grounds for a breach of contract claim if the employer fails to adhere to the confidentiality or non-compete terms as outlined in the contract.

Types of Employment Contracts

California is an at-will employment state, which means that absent a specific agreement, employers or employees can terminate the employment relationship at any time, for any reason. However, written, oral, and implied contracts can create enforceable terms that override this presumption.

Types of Legally Binding Contracts

Written Contracts: Clearly documented agreements outlining terms such as job duties, compensation, and termination procedures.
Oral Contracts: Verbal agreements that can be binding if their terms are provable.
Implied Contracts: Arise from employer conduct, policies, or consistent practices.

How to Reduce the Risk of a Breach in Contract

Employees can take proactive steps to reduce the risk of their employer breaching an employment contract. First, thoroughly read and understand your contract before signing, and seek clarification on any unclear terms. Maintain open communication with your employer about job responsibilities and address any potential issues early. Keep detailed records of all communications and document your job performance to demonstrate compliance with your contractual duties. Adhere to company policies and participate in regular performance reviews to ensure alignment with contractual expectations.

How Can an Attorney Help?

We also have breach of contract attorneys in Orange County can provide crucial support and guidance if you believe your employer has violated the terms of your employment contract. Here are several ways they can assist you with your claim:

Case Evaluation

An attorney will review your employment contract and the details of your situation to determine if a breach has occurred. They can assess the strength of your claim and advise you on the best course of action.

Legal Advice and Strategy

A breach of contract attorney can explain your legal rights and options, helping you understand the complexities of employment law. They will develop a tailored strategy to address your specific circumstances, aiming for the best possible outcome.

Evidence Gathering

Your attorney will help you collect and organize evidence to support your claim, including documentation, witness statements, and any relevant communications. This evidence is critical in building a strong case.

Negotiation

Disputes can often be resolved through negotiation without going to court. An attorney can negotiate with your employer on your behalf to seek a fair settlement that compensates you for any losses resulting from the breach.

Mediation and Arbitration

If negotiation fails, an attorney can represent you in mediation or arbitration. Alternative dispute resolution methods that can be less adversarial and time-consuming than litigation.

Litigation

If necessary, a breach of contract attorney will file a lawsuit and represent you in court. They will present your case, cross-examine witnesses, and argue on your behalf to seek a favorable judgment.

Protection Against Retaliation

An attorney can help ensure you are protected from any retaliatory actions your employer might take in response to your claim, such as further unfair treatment or wrongful termination.

Legal Remedies for Breach of Contract

When an employment contract is breached, the affected party can seek various legal remedies to address the harm caused. Here are the primary remedies available:

Damages

Compensatory Damages: Compensation to pay for direct financial losses like lost wages and benefits.
Consequential Damages: Address indirect losses, such as job search expenses.
Liquidated Damages: Predetermined amounts specified in the contract for breaches.

Punitive Damages

Rare in contract cases, as punitive damages are meant to punish particularly egregious conduct.

Specific Performance

The court orders the breaching party to fulfill their contractual obligations, often used when monetary damages are insufficient.

Rescission

Canceling the contract and returning both parties to their pre-contract positions, suitable for material breaches.

Reformation

Modifying the contract to reflect the true intentions of the parties, used when terms are unclear.

Restitution

Returning any benefits or value conferred to the breaching party back to the non-breaching party, preventing unjust enrichment.

Injunction

A court order preventing specific actions that violate the contract, like enforcing non-compete clauses.

Reinstatement

Returning the employee to their former position, mainly in wrongful termination cases.

Contact Us Today

At Aegis Law Firm, our Los Angeles Breach of Contract Attorney is committed to providing skilled legal representation to ensure that breaches of employment contracts are addressed promptly and effectively. Whether you need assistance with negotiation, mediation, or litigation, our dedicated team is here to support you every step of the way. Call (949) 379-6250 or message us online to arrange a free consultation today.

Los Angeles Breach of Contract Attorney