Houston Breach of Contract Lawyer

Experienced Houston Breach of Contract Attorneys Protecting Texas Businesses in Contract Disputes

Contracts are at the heart of business transactions. 

At Hendershot Cowart P.C., our breach of contract lawyers can help you and your business prevent or mitigate any resulting damage from a breach of contract when a partner, vendor, or third party violates the terms of a contract or fails to perform a promise contained in a binding and legally enforceable contract.

To schedule a consultation with a Houston breach of contract lawyer, call (713) 783-3110 or contact us online.

On This Page:

• Why Choose Us?
• Types of Breach of Contract
• Contract Disputes We Handle
• Breach of Contract Remedies Under Texas Law
• How to Protect Your Business
• Licensing Agreement Disputes & Contract Violations
• Tortious Interference
• Breach of Contract FAQs

At Hendershot Cowart P.C., our breach of contract attorneys have been litigating and defending contract disputes across Texas since 1987. We combine sophisticated legal strategy with practical business understanding to achieve results that matter.

What sets us apart:

• We handle both sides of contract disputes – pursuing claims and mounting defenses – giving us unique insight into winning strategies
• We know Texas contract law inside and out, from statute of limitations nuances to damage calculation requirements
• We fight for maximum recovery, including compensatory damages, consequential damages, specific performance, injunctive relief, and attorney's fees
• We pursue efficient resolution through negotiation and mediation when possible, but we're always prepared to take your case to trial

We're not just your legal counsel – we're your strategic partner in protecting your business, managing contractual risks, and securing the best possible outcome. 

Business contracts serve two essential purposes: they define each party's obligations during the relationship and establish legal remedies when those obligations aren't met. 

Texas law categorizes contract breaches into three types – each with distinct legal implications and remedies:

• Non-material (or partial) breach of contract
• Material breach of contract
• Anticipatory breach of contract

Non-Material Breach of Contract

A non-material breach (also called a partial breach) occurs when one party fails to perform a minor, nonessential obligation while still delivering the product or service – such as completing work a day late when the contract didn't specify that time was of the essence. 

The non-breaching party may be entitled to damages if they can prove actual harm, but they generally remain obligated to perform their own contractual duties.

Material Breach of Contract

A material breach occurs when a party fails to complete fundamental terms necessary for the contract's satisfactory completion, potentially making it impossible to fulfill the agreement. Courts determine materiality by examining factors like the extent of prior performance, whether the breach was intentional or negligent, and whether the non-breaching party can be adequately compensated. 

Remedies may include damages, injunctions (particularly for trade secret theft or non-compete violations), court orders requiring performance, or contract reformation.

Anticipatory Breach of Contract

An anticipatory breach (or anticipatory repudiation) happens when one party clearly indicates – through words or actions – that they will not fulfill their contractual obligations before performance is due. This allows the non-breaching party to immediately terminate the contract and sue for damages without waiting for the actual breach date. 

Swift action is essential to mitigate damages; for example, in construction contracts, hiring a replacement contractor promptly can limit losses while preserving the right to sue for any financial harm.

Our law firm represents both plaintiffs and defendants in a wide range of contract disputes, including disputes over these types of agreements:

• Billing agreements
• Confidentiality and non-disclosure agreements
• Construction contracts
• Corporate control agreements
• Declaratory judgment actions
• Development agreements
• Distribution agreements
• Franchise and FDD agreements
• Independent contractor agreements
• Licensing agreements
• Management services agreements
• Manufacturing agreements
• Medical contracts
• Non-compete agreements
• Oil and gas agreements
• Operating or company agreements
• Partnership agreements
• Provider or payer contracts
• Purchase agreements
• Shareholder agreements 
• Social media influencer agreements
• Software agreements
• Vendor and supplier contracts

To speak with our contract dispute team in Houston call (713) 783-3110today.

Under Texas law, remedies for a breach could include:

• Financial compensation or "damages", such as actual, reliance, restitution and liquidated damages; and/or
• Non-monetary or "equitable remedies", such as asking the court to order the other party to fulfill their contractual duties.

Financial Damages Available for a Breach of Contract in Texas

Non-breaching parties may be entitled to a recovery of damages when the other party breaches their contract. Because damages are dependent on the individual facts of a contract, contracts must be evaluated to determine if they are available and what remedies are most appropriate. 

When recoverable damages are available, they may include:

• Actual damages: Actual damages are the monetary damages incurred as a result of a contract breach, such as lost revenue. This is known as your expectation damages, and it refers to your financial position should the contract have been fulfilled. Expectation damages are measured by any diminution in value, as well as consequential and incidental damages.
• Reliance damages: Your reliance interest is a measurement for compensation when you suffer financial losses for relying on the party whose lack of contractual performance cost you money.
• Restitution damages: Restitution is awarded to restore you to the position where you were before the contract was formed and breached by the other party, and when you conferred a benefit with the expectation that they would perform. Restitution is calculated based on how much the breaching party gained.
• Quantum meruit: Quantum meruit refers to the recovery of the value of services performed, which benefited the other party. The phrase is Latin for “as much as he deserved.”
• Liquidated damages: Liquidated damages are agreed upon during the formation of a contract and entitle the non-breaching party to recovery for a specific breach. These are common in construction contracts where there is late performance.
• Attorney’s fees may be recovered if the breach is proven and if monetary damages are recovered.

Equitable Remedies for Breach of Contract in Texas

What if money damages alone can't make things right? In that case, you may be entitled to what is known as an “equitable remedy.” In Texas, in addition to suing for financial damages, there are four available equitable remedies for breach of contract disputes:

1. Rescission. Rescission is an agreement to void the contract and return both parties to the position they were in prior to the agreement. When the court grants rescission as a remedy, the contract and the parties’ rights and liabilities under it are cancelled, and any money exchanged must be returned. This remedy for breach of contract is not available if substantial performance on the contractual obligations has already been completed by one party or another.
2. Specific Performance. Another option is to go to court and request specific performance, namely, to ask the court to order the breaching party to fulfill all the promises made. A court will not order specific performance as a remedy for breach of contract unless it can effectively oversee compliance with the order. For example, a court will not likely order a party to perform a series of activities over an extended period.
3. Reformation. Reformation is essentially agreeing to a different deal. If one party breaches the contract, the other party is no longer bound by the agreement. But they wouldn't have entered into the agreement in the first place if they didn't have mutual interests. Reformation allows the contract to be tweaked or "re-formed" so that both parties want to comply with the terms. It’s a way of clarifying a contract that was based on a misunderstanding, a mistake, or one party's failure to disclose all the relevant information.
4. Injunction. An injunction is a court order that tells a party either to do something or refrain from an action that would be harmful. This remedy is a way of maintaining, or restoring, the status quo.

Ready to defend your interests? Contact a contract law attorney today. 

There is no single strategy to win a breach of contract claim; every case is different. There are, however, critical steps to take to make sure your contracts are enforceable and your rights are protected. 

If your contract is breached and you are forced to bring legal action, these steps will help protect your interests:

Draft Clear and Enforceable Contracts

A carefully crafted, unambiguous contract is a significant step in being clear about the duties and responsibilities of each party. Make sure the terms are very clearly defined, and that they are customized to your situation. Don’t simply turn to the internet and find a form to do it. They are not tailored to your particular needs and often are unenforceable or cause more harm than good.

Establish Dispute Resolution Terms During Negotiations

Establishing ground rules, such as how to resolve a disagreement, is important when negotiating the contract. This includes a full assessment of where and how a dispute will be resolved, what laws will apply, recoverable damages, legal definitions, and more.

Document Performance Throughout the Contract

Performance is a critical aspect while a contract is being fulfilled. If you are on the side contractually obligated to perform, document what you are doing and that you have fulfilled your contractual duty. 

If you are on the other side, also document any problems with performance, as you will need to insist on performance when the other party is consistently performing under the contract. This creates favorable evidence.

Preserve Evidence of Contract Breaches

Evidence needs to be truthful, and it should always be preserved. Evidence will be important to demonstrate that one side performed in accordance to a contract, while the other did not.

Identify and Prepare Credible Witnesses

Successful cases require someone who has seen, and can speak from firsthand experience, relevant facts related to the breach of contract. This can include expert witnesses, or individuals who have had direct or indirect involvement. Witnesses will also need to be evaluated to ensure they are as credible as possible.

Understand the Statute of Limitations in Texas for Contract Breaches

In Texas, you have four years from the date you discovered (or reasonably should have discovered) a breach of contract to file a lawsuit. This statute of limitations clock typically starts running when the breach occurs, not when you suffer damages. Missing this deadline means losing your right to pursue legal action, regardless of the merit of your claim. If you suspect a breach, consult with an attorney promptly to preserve your legal rights.

A Message to Defendants in Breach of Contract Litigation:

Many of the above steps also apply to defendants who have been accused of breaching a contract. 

There are also many affirmative defenses, including ambiguous contracts, mutual mistakes due to a lack of clearly defined conditions, being fraudulently induced into a contract, or estoppel, which prevents plaintiffs from making claims that go against their prior positions. 

How can you repair the damage done by a broken contract? Call (713) 783-3110 or contact us onlineto discuss the remedies for breach of contract in Texas.

Licensing agreement disputes frequently involve businesses alleging that a licensee has violated the terms of the agreement, typically by:

• Acting beyond the scope of the agreement
• Failing to pay royalties
• Not abiding by geographic requirements
• Fail to provide service and support required under licensing agreements
• Failure to actively market products under licensing agreements
• Engaging in competitive activities in violation of licensing agreements
• Failure of Licensor to deliver a functional product

Our breach of contract attorneys have successfully helped business owners obtain relief when their legal rights – whether sales guarantees or the protection of their brand – are on the line.

To learn more about your options regarding licensing disputes and violations, call us today at (713) 783-3110 to arrange a consultation or contact us online.

Has a third party interfered with your business contract?

Texas contract law recognizes a legal claim known as “tortious interference,” which allows a business owner whose contractual relationships are exploited by a third party to seek damages directly from that third party. These claims can address current, as well as prospective, business opportunities.

As part of our comprehensive, consultative approach, our attorneys will consider every legal claim – including possible claims for tortious interference in contracts or interference in respect to oral or informal agreements such as tortious interference of business.

Tortious Interference with Existing Contracts

Tortious interference with a contract is when a person intentionally and wrongfully disrupts a formal contract between two parties and causes one party to breach the contract.

Tortious Interference with Prospective Business Relations

Tortious interference of business is when a third party uses false claims against a business in order to drive business away from them or to cause another party not to enter into a business relationship with them.

How long does breach of contract litigation take?

The duration of a lawsuit to resolve breach of contract claims can vary significantly depending on several factors, such as the complexity of the case, the number of witnesses and exhibits, and the court's schedule. A civil trial can last anywhere from a few months to a year or more.

Can you help if I'm being sued for breach of contract?

Yes. Our law firm represents both plaintiffs and defendants in breach of contract disputes. As contract litigation attorneys who represent both plaintiffs and defendants in a wide range of breach of contract disputes, we know what it takes to win a breach of contract dispute.

What makes your firm different?

When you call Hendershot Cowart P.C., you get the same sophisticated legal services as the biggest firms in Texas, but we know your name, your business, and your goals. Your business receives strategic counsel from attorneys who understand both legal requirements and your business realities.

This isn't just legal service – it's a legal partnership.

Do you handle cases outside Houston?

Absolutely, we have been serving the contract law needs of businesses throughout Texas, including San Antonio, Corpus Christi, the Rio Grande Valley, Dallas, Fort Worth, Midland-Odessa, El Paso, and Austin since 1987. 

Our statewide practice means we understand Texas business law at every level – from state regulations to local municipal requirements across all major Texas markets. 

Do you offer free consultations?

While some firms offer "free consultations," these sessions typically focus on evaluating your case’s financial potential and your ability to pay. We believe our clients deserve more than a sales pitch – they deserve actual legal counsel from the very first meeting.

When you meet with one of our attorneys for a one-hour consultation, you will receive personalized legal advice from an experienced professional who has reviewed your contract and is ready to present practical legal options. 

For this reason, we do not offer free consultations. 

Ready to speak to an attorney about your contract dispute and discuss resolution options? Call Hendershot Cowart at (713) 783-3110 or contact us online24/7 to schedule a consultation.