Do I Need a Lawyer for Breach of Contract?

Answer 6 quick questions to get personalized guidance for your California case

Question 1 of 6

How much money is at stake?

Over $25,000
$12,500 - $25,000
$5,000 - $12,500 (Small Claims range)
Under $5,000

Question 2 of 6

What type of contract was breached?

Business contract (B2B, vendor, partnership)
Employment contract (non-compete, severance)
Real estate contract (purchase, lease)
Consumer contract (service provider, warranty)
Personal contract (loan, informal agreement)

Question 3 of 6

How clear-cut is the breach?

Very clear - they obviously failed to perform
Disputed - they claim they performed or had excuse
Contract interpretation issue - unclear terms
Partial breach - they did some but not all

Question 4 of 6

Does the contract have an attorney's fees clause?

Yes - prevailing party recovers attorney's fees
No attorney's fees clause
Not sure / haven't checked

Question 5 of 6

Is the other party a business or individual?

Large company with legal department
Small business
Individual with assets to pay judgment
Individual who may be judgment-proof (no assets)

Question 6 of 6

Have you already sent a demand letter?

Yes - they ignored or rejected it
Yes - they offered less than owed
No - haven't sent one yet
Currently negotiating

You Can Likely Handle This Yourself

For smaller, straightforward contract disputes, a demand letter and Small Claims Court are effective options.

Recommended DIY Steps:

  • Send formal demand letter with specific breach and amount
  • Calculate your actual damages (what you lost)
  • Gather evidence: contract, communications, proof of breach
  • File in Small Claims Court (up to $12,500)
  • Consider mediation as a faster alternative

You Should Consult a Business Litigation Attorney

Your case involves significant money or complexity that warrants professional representation.

Why You Need an Attorney:

  • Large stakes justify the cost of representation
  • If contract has fee-shifting, loser pays attorney's fees anyway
  • Complex disputes require legal strategy and discovery
  • The other side likely has or will hire counsel
  • Attorneys can often negotiate better settlements
🤔

Start with Demand Letter, Then Evaluate

Try a strong demand letter first. If that doesn't work, consider whether an attorney makes financial sense.

Recommended Approach:

  • Send professional demand letter with deadline
  • Check if attorney's fees clause exists (changes calculus)
  • Consult an attorney to understand your options
  • Consider limited-scope representation (lawyer reviews/drafts only)
  • Mediation may be faster and cheaper than court

Understanding Breach of Contract in California

A breach of contract occurs when one party fails to fulfill their contractual obligations. California follows general contract law principles, but there are some state-specific rules to know.

Elements of Breach of Contract

Attorney's Fees Clause - Game Changer

Check your contract for an attorney's fees clause. If the contract says "prevailing party recovers attorney's fees," this changes everything:

  • If you win, the other side pays your attorney
  • Makes hiring an attorney more affordable
  • Creates leverage for settlement negotiations

Statute of Limitations

Contract TypeTime Limit
Written Contract4 years
Oral Contract2 years
Open Book Account4 years

What Damages Can You Recover?

⚠ Can They Actually Pay?

Before spending time and money on a lawsuit, consider whether the other party can actually pay a judgment. A judgment against someone with no assets is worthless. This is a key factor in deciding whether to pursue a case.

DIY vs. Lawyer Cost Analysis

ApproachCostBest For
Demand Letter (DIY)FreeAll cases - always start here
Small Claims Court$75-100Under $12,500, simple disputes
Limited Civil Court (DIY)$370+$12,500-$25,000, clear cases
Business Lawyer$300-500/hourComplex cases, large amounts
Contingency (rare)30-40%Large, clear-cut cases only

Related Resources

Quick Legal Tools

Free calculators to help with your case:

📅

Timeline Predictor

How long will my case take?

💰

Fee Comparison

Contingency vs hourly fees

Deadline Checker

Statute of limitations

📊

Settlement Calculator

Estimate your case value

Find a Lawyer in Your California City

San Francisco San Jose Irvine Sacramento Oakland Pasadena Glendale Riverside Long Beach Torrance

Free legal assessments, demand letter generators, and courthouse info for your city.