Someone Broke a Contract in California — What Are Your Options?
A deal was made, one side didn't hold up their end, and now you're out money, time, or both. Whether the agreement was a signed document or a handshake, California law gives you tools to enforce it. Here's a plain-English look at how breach-of-contract claims work.
You don't always need a signed document
California enforces oral contracts too. They are just harder to prove. Certain agreements must be in writing to be enforceable under the statute of frauds — for example, contracts for the sale of real estate, or agreements that by their terms can't be performed within a year. But for most everyday deals, a clear agreement, emails, texts, invoices, and a course of conduct can establish that a contract existed.
What you have to show
To win a breach-of-contract claim in California, you generally need to prove four things:
- A contract existed (an offer, acceptance, and something of value exchanged);
- You did your part (or had a valid excuse for not doing it);
- The other side breached — failed to do what they promised; and
- You suffered damages as a result.
Watch the deadline
California sets a time limit — a statute of limitations — for suing on a contract. For a written contract it is generally four years (Code of Civil Procedure section 337); for an oral contract it is generally two years (section 339). The clock usually starts when the breach happens. Wait too long and the claim can be lost no matter how strong it is, so it's worth acting well before the deadline.
What you can recover
The usual goal of contract damages is to put you where you would have been if the contract had been performed — often the money you lost or the extra you had to pay to get what was promised. Some contracts include an attorney's-fee clause, which can let the winning side recover fees. In many contract cases you generally cannot recover emotional-distress or punitive damages, which is one reason the specific facts and the contract's wording matter so much.
Before you sue
A well-drafted demand letter — laying out the agreement, the breach, and what you want — often resolves a dispute without a lawsuit, and it creates a record. Gather your documents: the agreement, communications, invoices, receipts, and anything showing your losses.
When to talk to a lawyer
Contract disputes turn on details — the exact wording, the deadline, and what the evidence shows. An early conversation can tell you whether you have a strong claim, what it may be worth, and whether litigation, small claims, or a demand letter is the right path.
Dealing with a broken agreement? Ask a legal question.