We represent clients in a wide range of contract-related disputes, including breach of contract, contract enforcement, and other matters arising from business and personal agreements. This includes disputes over non-performance, failure to deliver goods or services, payment issues, and violations of terms in written or verbal contracts. Our firm works diligently to protect our clients’ rights—whether that means seeking damages, compelling compliance with contractual obligations, or defending against unfounded claims. We handle these matters through negotiation, mediation, and litigation when necessary, with a strategic approach.

A contract dispute happens when two or more parties disagree about the terms, responsibilities, or performance of a contract. These disagreements can arise if one party doesn’t do what they promised, does it late, or misunderstands the agreement. Common types of contract disputes include:

Failure to perform – One party doesn’t follow the terms of the agreement.

Payment issues – Disagreements over how much was owed or paid.

Service or delivery failures – A product or service wasn’t delivered as agreed.

Misunderstood terms – The parties have different views of what the contract means.

Misrepresentation or fraud – One party was dishonest when entering the agreement.

Resolving Contract Disputes: Many people think that contract disputes must be resolved in court, but there are actually several ways to address disagreements. Speaking with a contract dispute attorney can help you decide which option is best for your situation.

Negotiation and Informal Resolution: This method involves direct communication between the parties to try and work out a solution without third-party involvement. When both sides are willing to listen and compromise, negotiation can be a fast and cost-effective way to settle the matter.

Mediation: Mediation is a voluntary process where a neutral facilitator—called a mediator—helps both parties talk through their issues and work toward a solution they can both accept. It’s generally less confrontational than court and is often used to preserve working or personal relationships.

Arbitration: Arbitration is a more structured alternative to mediation. It may be binding or non-binding, depending on what the parties agree to. When contracts contain arbitration clauses, the dispute is submitted to an arbitrator who acts like a private judge and issues a decision. Arbitration tends to be quicker and more private than court, but options for appeal are limited.

Litigation: When other efforts fail or aren’t feasible, taking the matter to court may be necessary. This involves filing a lawsuit in state or federal court and going through formal legal procedures such as discovery, hearings, and trial. Litigation is typically the most time-consuming and expensive route, but sometimes it's the only way to enforce your rights or recover damages.

It's important to seek legal guidance early, as an experienced attorney can help you determine the best course of action based on the unique details of your dispute and provide support and advocacy every step of the way.

In a contract dispute, the primary goal when determining damages is to fairly compensate the non-breaching party—essentially placing them in the position they would have been in had the agreement been fully honored.

Types of Damages

Compensatory Damages - These are intended to cover direct financial losses caused by the breach, allowing the injured party to recover the value they lost.

Consequential (Special) - Damages These cover losses that stem indirectly from the breach but were reasonably anticipated by both parties when the contract was formed.

Punitive Damages - Intended to punish severe misconduct and deter similar actions, punitive damages are rarely awarded in Texas contract cases. They are more commonly associated with intentional wrongdoing or fraud.

Liquidated Damages - These are predefined amounts written into the contract to cover specific types of harm that might be difficult to calculate after a breach. They are only enforceable if the amount is reasonable and not considered a penalty.

Equitable Remedies - In some situations, financial compensation alone is not enough, and courts may order other remedies

Specific Performance -  This remedy requires the breaching party to carry out the terms of the contract. It’s often used when the subject of the contract is unique, such as in real estate deals.

Injunctive Relief - This involves a court order that either restrains a party from taking certain actions or compels them to do something specific, usually to prevent further harm.

Other Equitable Solutions - Courts may also grant remedies such as rescinding the contract (canceling it) or reforming its terms to reflect the true agreement between the parties. These options are designed to ensure the injured party receives a fair remedy that reflects the seriousness and context of the breach.

We also assist clients in resolving a wide array of business-related disputes, ranging from partnership conflicts and internal ownership disagreements to issues arising from business transactions, contract breaches, and fiduciary duty violations. Whether the matter involves a closely held company, a larger corporation, or a joint venture, our attorneys provide strategic, results-driven litigation support tailored to the specific dynamics of each case. We aim to resolve disputes efficiently—whether through negotiation, mediation, or courtroom litigation—while protecting our clients’ business interests and long-term goals.

Common Partnership Disputes: Partnership disputes can arise for a variety of reasons, including:

1. A partner violating the terms outlined in an employment agreement
2. Failure by a partner to meet their responsibilities within the partnership
3. Conflicts over business operations or decision-making approaches
4. Concerns from other partners about the actions of one partner taken on behalf of the partnership
5. Allegations that a partner has not complied with the terms of the partnership agreement
6. Accusations of fraud or misuse of partnership assets by one of the partners

A Common Cause of Partnership Disputes

In a partnership, every partner is expected to act in the best interest of the business and their fellow partners, as part of their fiduciary duty. These duties generally fall into two categories:

1. Duty of Care: Partners must perform their responsibilities carefully and competently while conducting business for the partnership.
2. Duty of Loyalty: Partners are required to prioritize the partnership's interests over personal gains and avoid conflicts of interest.

If a partner violates these duties, they could be held personally accountable. Additionally, other partners may suffer consequences for the breach. Often, partners unaware of the breach find themselves in financial difficulty due to another partner’s failure to fulfill these obligations. Being vigilant in such relationships is essential.

Partnership Disputes and Possible Dissolution

A common issue in partnership disputes is when partners can no longer continue working together. This may result in the dissolution of the partnership, either as the final resolution or after attempts to salvage the relationship fail.

One partner may seek dissolution while others disagree. In this case, the partnership might fight to remain operational. Alternatively, the dispute could focus on how to divide assets and wind down the business. If the partnership can no longer function as intended, a judge may decide on dissolution.

When a partnership dispute reaches court, several factors are considered:

Partnership Agreement: The court will first review the agreement that defines the partners' rights and duties.

Texas Business Organizations Code: Texas law outlines specific procedures and requirements for partnerships.

Common Law: In partnership cases, courts often rely on established legal principles, such as those in the Restatement of the Law Third, Agency.

• The Role of the Partnership Agreement: If the dispute reaches litigation, the court will closely examine the partnership agreement. This legally binding document will guide the resolution process, with the terms having significant legal weight. In the absence of a relevant clause or if the terms are unclear, external evidence may be used to clarify the issue.
• Partnership agreements should ideally include a dispute resolution clause that lays out the steps for resolving disagreements, including whether mediation or arbitration is required before taking matters to court.

Disagreements between partners can be emotionally charged, especially when partners have a long history together and hold a personal stake in the business. These disputes may stem from personality differences or disagreements over business practices, which can escalate if not addressed early.

• Getting legal advice promptly is crucial for finding a successful resolution. In some cases, keeping the lines of communication open and negotiating can be the best option to resolve the conflict.
• Legal Remedies for Partnership Disputes: In partnership lawsuits, partners may seek various legal remedies, including:
  Damages for breach of contract
  Expulsion of one or more partners
  Enforcement of a buy-sell agreement
  Dissolution of the partnership
  Injunctions to prevent specific actions

Navigating a partnership dispute without legal counsel is risky. An experienced lawyer can guide you through the process and help protect your rights

If you’re facing a partnership dispute, the experienced attorneys at The Law Office of J. L. Bell are here to help. We offer strategic counsel, guiding clients through complex business disagreements, whether through negotiation or litigation. Our team will assess the entire situation, offering you the best legal options available.

Contact us today to schedule an appointment and start working toward a resolution.