contract law is a body of law that governs, enforces, and interprets agreements related to an exchange of goods, services, properties, or money. this is a section of the contract itself in which it is specifically stated which state’s laws will apply to interpreting and enforcing the contract should a dispute arise. an actual breach occurs when one party to the agreement fails or refuses to honor his part of, or complete his duties under, the contract. an anticipatory breach refers to an intended or anticipated failure of one party to perform his duties under the contract.

if one of the parties fails to perform then the other party can sue.3 min read basic contract law covers the many different phases of negotiation and contract creation. if a contract is formed and one of the parties fails to perform, then the other party can sue to enforce the deal. this is an important aspect of the business world. and if that party does not hold up its side of the contract, the business has a legal claim under contract law for certain remedies and/or damages depending on the type of contract and its provisions. the first question discussed by a court will be whether there was enforceable contract formation. there must be a clear and definite offer to contract. if your behavior and actions clearly convey the willingness to contract on the particular terms agreed to by the offeree, this can be construed as an offer by the court. the means of acceptance should be laid out in the offer.