The area of law, commercial disputes, encompasses a number of specialties, such as: breach of contract, fiduciary duty, and business torts. To protect the business’s reputation and profitability, disputes should be addressed swiftly and efficiently; hence, arbitration.
What is a Breach of Contract?
When a contract is breached, a binding agreement has not been honored by one or more parties. A breach is usually categorized as ‘material’ or ‘non-material’. A non-material breach pertains to an auxiliary detail of a contract—the less serious of the two. A material breach, the more significant, is a breach that significantly affects the value of the contract. The purpose of categorization is to determine an appropriate remedy. Regardless, an unjustifiable failure to perform all or part of the contract is grounds for legal action.
A Fiduciary’s Legal Obligation
An individual bestowed the legal responsibility of performing in the best interest of another is a fiduciary. The entrusted party is responsible for taking care of money, property, and/or other assets. If the individual is in breach of their duties, they must account for the ill-gotten profit, in addition to compensating his or her beneficiaries.
Business Torts Implications
Tort law covers a wide range of misconduct. Business torts, also known as economic torts, are wrongful acts intentionally committed against a business entity, subsequently causing some sort of financial loss. Often, these acts involve unfair trade practices: the use of fraudulent and unethical strategies to obtain business. In these cases,a business or individual may seek restitution in the form of a monetary sum and/or an injunction requiring the defendant cease relevant activity.
Arbitration: The Favorable Route
Arbitration is often used in cases of commercial dispute because:
- Unlike litigation, the parties can select their tribunal.
- Arbitration is faster than litigation.
- The arbitration process is private, while litigation proceedings are public.
- The associated costs are economically friendly. The litigation process can be very expensive, especially when a case is dragged out.
- In binding arbitration, there are very limited avenues for appeal—limiting the duration of the discord.
Though commercial disputes can be a hassle, it’s important to know the process is shorter and easier than you think. In choosing the more favorable route, Anthony B. Gordon has successfully secured his client’s fees.
To resolve your commercial dispute, and receive the restitution you deserve, contact Anthony B. Gordon at (818) 887-5155.