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The basis of a business can lead to strength or dispute

Whether you work for a California corporation or have perhaps started your own company, you know that businesses revolve around one basic thing: contracts. There might be various contracts at-play under the umbrella of a business, but at the simplest levels, contracts tend to be the foundation of business.

If you are heading a startup, you might seek investors and, therefore, have contracts in place to outline those important details. If you are an employee or an employer, employment contracts lay out expectations important to that business relationship. Businesses also hold contracts between them and their clients. 

FindLaw describes a business contract as a legal agreement. While that sounds simple, the simplicity in definition doesn't take away from a contract's importance. Because a contract between investors and a company, a business and a client, a business and another business, etc., is legally enforceable, parties can take formal action when an agreement is violated. 

A more formal term for violating a contract is to "breach" a contract. When a party (business, employee, employer, client) doesn't meet an agreed-upon part of a business agreement, the other party can legally hold the breaching party accountable. 

For many who end up in this legal situation, litigation becomes necessary in order to recoup losses associated with the contract dispute. Others who are impacted by a violation of a business contract will choose to go the route of settling a matter outside of court. 

Whatever kind of contract dispute might be impacting your business, a litigation lawyer in your area will be an invaluable source of advice and legal guidance. Choosing a legal team experienced in litigation and negotiating is a wise move in order to best serve your unique and perhaps evolving legal needs.

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