How to Enforce a Breached Business Contract in Texas
- The Spencer Law Firm
- Aug 27
- 3 min read
Updated: Aug 28
If your business contract has been breached in Texas, here’s exactly what you need to know about enforcing it — and protecting your business.
Key Takeaways:
A breached contract can be enforced under Texas law through demand letters, lawsuits, or arbitration.
Legal remedies include damages, specific performance, and injunctions.
Working with an experienced Texas business litigation attorney significantly increases your chances of a favorable outcome.
What Is Considered a Breach of Contract Under Texas Law?
A breach of contract occurs when one party fails to uphold the obligations outlined in a
legally binding agreement. In Texas, this includes:
Failure to deliver goods or services as promised
Refusal to pay as agreed
Violating terms related to confidentiality, timelines, or performance standards
Not every disagreement is a breach. To succeed in enforcing your rights, you must show:
A valid, enforceable contract existed
You performed your obligations
The other party breached the contract
You suffered damages as a result
Legal Steps to Enforce a Breached Contract in Texas (2025 Process)
Review the Contract Carefully
Look for:
Specific breach terms
Notice or cure periods
Dispute resolution clauses (mediation, arbitration)
Jurisdiction (most likely Texas courts if your contract is local)
Send a Formal Demand Letter
Before heading to court, Texas courts often expect you to attempt informal resolution. A demand letter should:
Outline the breach in detail
Specify how the other party can “cure” the breach
Set a clear deadline for compliance
Warn of legal action if ignored
This step shows good faith and protects your position in future litigation.
File a Lawsuit for Breach of Contract
If the other side refuses to cooperate, Texas law permits you to file suit. Typical damages you can seek:
Compensatory damages (your direct financial losses)
Consequential damages (losses caused by the breach)
Attorney’s fees (if your contract allows it or by statute)
Specific performance (forcing the other party to perform their obligations in certain cases)
Consider Arbitration or Mediation
If your contract includes a dispute resolution clause, you may need to resolve the matter through arbitration or mediation before going to court.
What Remedies Can Texas Courts Provide for Breach of Contract?
Under Texas law, courts can offer several forms of relief:
Remedy | What It Means |
Monetary Damages | Reimburse financial losses caused by the breach |
Specific Performance | Court orders the breaching party to fulfill their obligation |
Injunction | Stops the other party from continuing harmful actions |
Common Questions Texas Business Owners Ask About Contract Enforcement
Can I sue immediately if the other side breaches?
Not always. Some contracts require notice and time to fix the issue before legal action.
How long do I have to sue for breach of contract in Texas?
Under Texas Civil Practice and Remedies Code § 16.004, you generally have four years from the date of the breach.
Can I recover attorney’s fees?
Yes, if your contract allows it or under Texas law. This often helps offset legal costs.
Why You Need an Experienced Texas Business Litigation Attorney
At The Spencer Law Firm, we specialize in resolving business disputes efficiently. We help Texas business owners:
Assess contract breaches
Draft demand letters
Navigate litigation or arbitration
Recover damages
With decades of experience, we understand how to protect your business interests and enforce contracts effectively.
Get Trusted Legal Guidance on Enforcing Your Business Contract in Texas
Don’t let a breach of contract damage your business any further. We’re here to help you take decisive legal action.
Schedule your consultation today with The Spencer Law Firm.
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