Archives January 2020

Breach of Contract: Anticipatory Breach

When most people think of contracts, they often forget that a contract may be breached under California contract laws when one party unconditionally refuses to perform the promised task. In court, this type of refusal is referred to as a repudiation of the contract.

When one party indicates repudiation—through words, actions, or both—the injured party may seek to claim a breach of contract. In these types of breaches, injured parties will claim a failure to perform under contract and seek various remedies for compensation.

Anticipatory breaches are very different from material breaches of contract. Anticipatory breaches are more pre-emptive and refers to an action that has not taken place. On the other hand, material breaches often refer to the contract itself. The term “material” refers to the fact that the contract itself or an important detailed is ultimately flawed or has been breached.

Types of Repudiation

Naturally, there simply too many unique scenarios to be encompassed in one category of repudiation. As such, the California courts often recognize three main types of repudiation: express, impossibility, and transfers.

Express repudiation is exemplified when a party makes a clear, unconditional refusal to maintain or honor the contract. Put simply, one party of the contract will essentially convey that they are not going to continue with the deal. More importantly, repudiation that falls under this category must be abundantly clear, straightforward and directed at the intended parties.

Impossibility is another type or repudiation recognized by the California contract courts. Impossibility refers to the fundamental capability for one or more parties to honor the original contract. A clear example is when a business owner takes a loan from the bank. If the business owner makes voluntary, reckless business decisions that incurs enormous debt with no profit, the business owner has repudiated the original contract to repay the bank. The sheer impossibility of repaying the debt—as a result of the business decisions—is why the voluntary acts is considered repudiation.

The third type of repudiation is when the property of the deal has been transferred to another. These breaches can be illustrated with a real estate deal. For instance, if a seller has already made a contract to sell the house to a specific buyer, then goes on to sell it to another person (i.e. family member), then the contract has been repudiated in the eyes of the court.

Exceptions

As always, there are a few exceptions to the standards of repudiation. The Uniform Commercial Code (UCC) is a code used to handle anticipatory breaches. More specifically, the code states that parties have the right to demand “adequate assurance of performance” when there is reason to believe that the other party will not fulfill the contract’s obligations.

During the period where proof of assurance is being gathered—in other words, not yet provided—the party that demanded the assurance can suspend their performance. If the assurance is not provided after 30 days of the initial request, the contract is official repudiated.

Breaches in contract are often extremely frustrating obstacles that pose many problems for businesses. As business owners or individuals involved in contracts, it is vitally important to understand the specifics of the contract. Additionally, it is responsible to make several plans or procedures to take if a contract is ever breached.

For individuals about to enter a contract or individuals dealing with contract disputes, it is highly advised that they seek an experienced legal counsel. Finding the right legal counsel will provide you with the crucial guidance when dealing with California contract laws.

This is a legal blog. It is not intended to be used as legal advice.

For further information please contact the law offices of attorney Ramona Kennedy.

Ramona Kennedy (Attorney) received her Jurisprudence Doctorate in America and is a licensed attorney in California (USA). Ramona Kennedy is a member of American Immigration Lawyers Association (AILA). Ramona Kennedy is fluent in English and Farsi (reading & writing) & speaks Azeri Turkish.

Email: Kennedycounsel@gmail.com
Phones: 13106230080 & 19496770063
Imo: 13106230080 & 19496770063
Telegram & WhatsApp: 1949677006
Office Locations:
Los Angeles (Westwood) Location
-Oppenheimer tower
10880 Wilshire Blvd, Suite 1101 Los Angeles CA 90024
Phone: 13106230080
Orange County Locations:
Irvine:
-7700 Irvine Center Dr. Suite 800, Irvine, CA 92618
Newport Beach:
-5000 Birch St, Suite 3000 Newport Beach CA 92660
Phone: 19496770063

 

Recording Without Consent is Illegal in California

As technology continues to advance and audio recording systems become sleeker and more discrete, many individuals have rightfully feared the possibility of someone recording a confidential conversation.

In California, it is actually illegal for people to record a private/confidential conversation or telephone call without one’s consent. Recording someone without the others’ knowledge is an act that violates Penal Code 632—also known as PC632.

PC632 makes certain types of eavesdropping a California crime. That being said, there are many exceptions to PC632 that people should be aware of. For instance, a person is able to legally record communications that are made in a “public gathering”.

Additionally, law enforcement is exempt from the PC632 when police officers and certain private citizens are recording conversations in order to gather criminal evidence in support of an offense. This exception is made in hopes of protecting the public’s interest when tracking down criminals or mounting a criminal case.

Wobbler Offense

Violations of PC632 is considered a wobbler offense because these violations can be charged as either a misdemeanor or a felony. This decision is made at the prosecutor’s discretion, so it is highly advised that people experiencing such allegations find an experienced legal defense.

Misdemeanor Cases

If the prosecutor successfully charges the crime as a misdemeanor, these are the following maximum penalties:

  • Imprisonment in county jail for up to one year
  • Fine of up to $2,500

Felony Cases

If the prosecutor successfully charges the crime as a felony, these are the following maximum penalties:

  • A maximum of 3 years in state prison
  • Fine of up to $2,500

Under California Law, What is Considered Eavesdropping?

California defines an action of eavesdropping by creating prerequisites that an action must fulfill. In other words, if an action satisfies all the requirements, then it is considered eavesdropping in the California court of law.

The act to record other persons’ conversations must be intentional. If it is by accident, then it is not considered eavesdropping. Moreover, the act of recording must take place without the consent of the speaker(s). Lastly, the conversation and the subject matter must be confidential.

When recording, the act must involve the use of an electronic amplifying or recording device. Conversations are confidential when circumstances can reasonably indicate that at least one party of the conversation intends for no one extraneous to overhear.

Allegations and cases of illegal eavesdropping is ultimately something to take very seriously, if charged as a felony, the defendant can face years in federal prison in addition to some hefty fines. People involved in eavesdropping cases are highly advised to seek legal counsel.

The right lawyer can plan the best steps for each unique case. If someone is in the process of litigating a PC632 case, finding the right lawyer can make sure the violation is not treated as a felony case.

This is a legal blog. It is not intended to be used as legal advice.

For further information please contact the law offices of attorney Ramona Kennedy.

Ramona Kennedy (Attorney) received her Jurisprudence Doctorate in America and is a licensed attorney in California (USA). Ramona Kennedy is a member of American Immigration Lawyers Association (AILA). Ramona Kennedy is fluent in English and Farsi (reading & writing) & speaks Azeri Turkish.

Email: Kennedycounsel@gmail.com
Phones: 13106230080 & 19496770063
Imo: 13106230080 & 19496770063
Telegram & WhatsApp: 1949677006
Office Locations:
Los Angeles (Westwood) Location
-Oppenheimer tower
10880 Wilshire Blvd, Suite 1101 Los Angeles CA 90024
Phone: 13106230080
Orange County Locations:
Irvine:
-7700 Irvine Center Dr. Suite 800, Irvine, CA 92618
Newport Beach:
-5000 Birch St, Suite 3000 Newport Beach CA 92660
Phone: 19496770063

 

 

 

 

Important Things to Know about California’s Statute of Limitations

Why are there Statutes of Limitations? What do they do?

Legislatures mandate specific time limits for victims interested in filing lawsuits because it assumes that the reliability of one’s evidence decreases as more time passes by. For defendants of the case, they can invoke the statute of limitations when the suing party fails to file a lawsuit before time limit.

In cases where the statute of limitations can be successfully invoked, the case and all lawsuits in question will be dismissed. In that sense, it is vitally important that injured parties are cognizant of any deadlines involved in their cases.

When does it come into effect?

The statute of limitations begins to come into effect the calendar day when a party makes the initial claim. This commencement date is commonly referred to as the “accrual or “cause of action”. This step is where the plaintiff shares/has a reason to file the lawsuit.

Though some special circumstances will warrant a delay or extension of the time limit of one’s claim, the statute of limitation is relatively consistent. For instance, a case involving assault and battery will generally have a two-year time limit. In other words, the injured party will be able to sue the defendant as long as it comes before the two-year time slot.

Are the Statutes of Limitations Different in California?

The statutes of limitations vary to some degree from each state. An additional consideration to factor in is that federal courts and state courts also have different statutes of limitation. Your claim will fall into one of these jurisdictions depending on the evidence and context surrounding the claim.

The differences between each state and federal claim highlight the importance of having an experienced attorney guide you through the process. It is important to understand your jurisdiction’s limitations to each case before filing.

Can the Courts Enforce Oral Contracts in California?

Due to California’s contract laws, oral contracts are prescribed similar rules such as the two-year limitation. In that sense, people engaged in oral contracts should also be aware of the deadlines in order to file a successful suit.

More importantly, there are other considerations when dealing with oral contracts. Specifically, some statutes will require a written contract alongside an oral contract in order for it to be enforceable in California courts. A common example is when people are dealing with home improvement contracts (agreements that are usually done verbally).

Oral contracts also have some distinct disadvantages when compared with written contracts. Oral contracts are much more difficult to prove in the courts—claims often require witnesses and other strong evidence to substantiate contract-related claims.

Statute of Limitations on Most Written Contract

According to California contract laws, most written contracts are prescribed a four-year statute of limitations. In other words, plaintiffs need to sue the defendant in the 4-year time window that follows the alleged breach.

As aforementioned, some written contracts still only have a two-year limitation. Contracts that involve title insurance or real estate are examples of written contracts with two-year limitations.

Understanding California’s contract laws and the statutes of limitations is ultimately the first step to creating enforceable contracts that give all parties the peace of mind. Unfortunately, many businessmen unintentionally agree to contracts that are unenforceable or invalid in the eyes of the courts.

Having the right legal counsel will help eliminate the possibility of any unexpected obstacles when it comes to contract disputes. He or she will make sure that your contract follows applicable statutes of limitations and give you the peace of mind that California’s courts will enforce your agreement.

This is a legal blog. It is not intended to be used as legal advice.

For further information please contact the law offices of attorney Ramona Kennedy.

Ramona Kennedy (Attorney) received her Jurisprudence Doctorate in America and is a licensed attorney in California (USA). Ramona Kennedy is a member of Orange County Trial Lawyers Association (OCTA).

Ramona Kennedy is fluent in English and Farsi (reading & writing) & speaks Azeri Turkish.

Email: Kennedycounsel@gmail.com
Phones: 13106230080 & 19496770063
Telegram & WhatsApp: 1949677006
Office Locations:
Los Angeles (Westwood) Location
-Oppenheimer tower
10880 Wilshire Blvd, Suite 1101 Los Angeles CA 90024
Phone: 13106230080
Orange County Locations:
Irvine:
-7700 Irvine Center Dr. Suite 800, Irvine, CA 92618
Newport Beach:
-5000 Birch St, Suite 3000 Newport Beach CA 92660
Phone: 19496770063

 

 

 

 

 

California Statute of Frauds: Contracts that are Unenforceable

When it comes to California contract laws, oral or verbal contracts are typically valid and enforceable. However, in some circumstances where the uncertain nature of oral agreement compromises the contract, a written record be required in order to make it legally binding.

The California Statute of Frauds is a set of statutory provisions that outline many specific circumstances where an oral contract will be deemed unenforceable. The idea behind these provisions is to reduce the probability of fraud. Essentially, these statutes require a written record of the terms agreed-upon by the contract’s parties.

According to California contract laws, the following types of transactions are invalid without supporting documents (written agreements):

  • A verbal agreement where the terms and actions outlined cannot be performed within one year of the contract’s creation
  • A pledge to repay or answer for the debt, miscarriage, or default of another individual
  • An agreement for the sale of real property, or an agreement for a lease that lasts longer than one year
  • A promise or action that is not to be performed during the lifetime of the party.
  • An agreement for the purchase/sale of any good where monetary value exceeds $500 USD
  • An agreement for the purchase/sale of any personal property where monetary value exceeds $5,000 USD

The aforementioned is only a partial list designed to give readers a better idea of the kinds of agreements that will not hold up in the court of law without a written counterpart.

The list is especially important for anyone who uses oral contracts and would like the reassurance of legal remedies. In other words, a victim of a breach of contract without proper requirements will not be able to use California’s court of law to seek restitution.

What Requirements Must be Fulfilled for My Contracts to be Enforceable?

The written agreement used to support contracts that would otherwise be unenforceable also need to fulfill some basic requirements. For example, the written agreement must reasonably identify the subject matter of the contract.

Additionally, it must state the material terms of the agreement at hand. This can be exemplified in the quantity of goods, and the price at which they should be sold. Lastly, it must be signed by both parties in order to show that there is a mutual understanding.

How to Make Sure Your Contract is Enforceable

Unfortunately, there are countless cases of trusting business owners who fall victim to breaches of contract. Even worse, those individuals who are involved in unenforceable contracts are stuck in situation where no legal remedy will be available.

In that sense, the California Statute of Frauds is a powerful reminder that businessmen should seek legal counsel before committing to any important contract. Discussing crucial information and details about California contract law may save people from expensive headaches in the future.

This is a legal blog. It is not intended to be used as legal advice.

For further information please contact the law offices of attorney Ramona Kennedy.

Ramona Kennedy (Attorney) received her Jurisprudence Doctorate in America and is a licensed attorney in California (USA). Ramona Kennedy is a member of Orange County Trial Lawyers Association (OCTA).

Ramona Kennedy is fluent in English and Farsi (reading & writing) & speaks Azeri Turkish.

Email: Kennedycounsel@gmail.com
Phones: 13106230080 & 19496770063
Telegram & WhatsApp: 1949677006

Office Locations:
Los Angeles (Westwood) Location
-Oppenheimer tower
10880 Wilshire Blvd, Suite 1101 Los Angeles CA 90024
Phone: 13106230080
Orange County Locations:
Irvine:
-7700 Irvine Center Dr. Suite 800, Irvine, CA 92618
Newport Beach:
-5000 Birch St, Suite 3000 Newport Beach CA 92660
Phone: 19496770063

 

 

 

One Way to Resolve Your Contract Dispute: Rescission

When a valid legal contract is in dispute, injured parties will often seek remedies. Typically, these remedies will be legal or equitable in nature and can come in various forms. Though there are various ways rescission may provide remedy, the common goal is to cancel the prior agreement.

More importantly, remedies where rescission is mandated will try to restore the relevant parties of the contract to the positions held when they first entered into the contract. Essentially, these forms of relief try to nullify the contract and relieve the parties from the obligations and duties outlined.

Different Forms of Remedies: Legal, Equitable, & Injunctive

One form of rescission is a legal remedy that is considered rigid and clear-cut. The recuperation of monetary (money) damages is a great example where the injured party may stake a legal claim for money lost as a result of the contract. The amount of relief is clear and inflexible—dollar amounts.

Another form of rescission is an equitable remedy that is perceived as more flexible. The main goal of equitable remedies is to establish fairness amongst parties. Relief may not necessarily amount to a certain dollar amount owed to the victims.

Lastly, an injunctive relief is different in that relief comes from a court mandating/refraining another party from doing something. The different types of relief available highlights the importance of consulting your lawyer before proceeding with a claim. The right legal counsel will take your case into consideration and advise the best form of remedy for your personal situation.

Different Grounds for Rescission: Mistaken Fact or Law

When both parties mistake a crucial fact or law, the original contract may end up getting rescinded. For these cases, the mistaken fact or law must be material to the contract. By “material”, it means the fact was a vital part of the case that influences the outcome.

Take for example the sale of a classic automobile where the value and final sale price skyrocketed because the listing advertised that Michael Jackson once owned the car. If that past ownership was actually not truthful and both parties did not know, this sale would be considered a mutual mistake. Additionally, the mistaken fact was material to the contract because of the influence it had on the final sale price.

Fraud

Fraud is actually the most common reason injured parties seek rescission. For legal purposes, fraud is defined as any action—or inaction—that is intended to deceive another party. These actions result in injury for the victim who relies on the contract.

There are different forms of fraud: intentional misrepresentation, negligent misrepresentation, concealment of material fact, and failure to disclose material fact. If you are unclear or actively dealing with a contract dispute that involves fraud, legal counsel is highly advised.

Undue Influence or Duress

When contracts are assessed to be heavily one-sided (where one party unfairly benefits at the expense of the other), courts will often presume some degree of coercion is involved. After all, it would be highly unlikely that capable, logical parties would willingly enter into a contract where they would hardly benefit.

For cases involving undue influence, courts assess a variety of factors to determine whether the original contract is eligible for rescission. The exchange of value, free will, and other relevant factors influence the court’s final determination.

This is a legal blog. It is not intended to be used as legal advice.

For further information please contact the law offices of attorney Ramona Kennedy.

Ramona Kennedy (Attorney) received her Jurisprudence Doctorate in America and is a licensed attorney in California (USA). Ramona Kennedy is a member of Orange County Trial Lawyers Association (OCTA).

Ramona Kennedy is fluent in English and Farsi (reading & writing) & speaks Azeri Turkish.

Email: Kennedycounsel@gmail.com
Phones: 13106230080 & 19496770063
Telegram & WhatsApp: 1949677006
Office Locations:
Los Angeles (Westwood) Location
-Oppenheimer tower
10880 Wilshire Blvd, Suite 1101 Los Angeles CA 90024
Phone: 13106230080
Orange County Locations:
Irvine:
-7700 Irvine Center Dr. Suite 800, Irvine, CA 92618
Newport Beach:
-5000 Birch St, Suite 3000 Newport Beach CA 92660
Phone: 19496770063