Running a trucking company is all about delivering goods for clients when they need them. Generally, the professional relationship between the company and client is outlined in a written contract. Contracts outline the key obligations and rights of each party. For instance, a contract may set out the types and quantity of goods to be delivered, and how much the trucking company should be paid for delivering them.
There may be occasions when a client feels like the contract has been breached. When might this occur?
When changes are made in advance
Sometimes, it is clear in advance that the agreed terms in a contract are just not deliverable. For instance, a trucking company may not yet have received the goods that are supposed to be delivered. Ideally, the contract should contain clauses that govern how situations like this should be remedied, and all parties can renegotiate a workable agreement. However, when a client has been given advanced warning that they will not receive the goods when originally intended, they may argue that this amounts to an anticipatory breach of contract.
Minor breaches
In some cases, alleged contract breaches are relatively minor. For example, a trucking company may have been able to deliver nine out of 10 goods specified in the contract, but had to substitute one of the other items for a different brand of product.
Actual and material breaches
Actual and material breaches of contract are particularly significant in nature. An example of an actual breach in terms of delivering goods would be if goods were delivered a week later than agreed. A material breach may occur if the wrong type of goods were delivered to the client.
Whether or not a contract has been breached will largely depend on the clauses included in the original document and the relationship between the business and client. Oftentimes, these matters can be resolved without litigation. However, if your firm has been accused of breaching a contract, it’s important to have legal guidance on your side to better protect your interests regardless of how your situation evolves.