Contracts FAQ

Under most circumstances, the statute of limitations for a breach of contract in Texas is four years. (See Sec. 2-275 of the Business & Commerce Code)

However, many contracts may have limiting language altering your right to sue, and some contracts have pre-requisites to your right to sue. Because every contract is different, you should have an attorney review your contract to see if there are any exceptions to the general rule. Additionally, there may be other causes of action that may have shorter limitation periods. Contact Us for more information, or to have your contract reviewed.

Yes, however, you may have a defense. Texas Business and Commerce Code Sec. 321.113 provides limited immunity from prosecution in the event that a sender acted in good faith in hiring a sender to send compliant unsolicited commercial emails, but the company (without knowledge of the sender) violates the law. However, there may still be a liability for violating another state’s laws, if the emails wind up in an out-of-state user’s mailbox.

As a general rule, if a contract is made solely over the Internet between a person located in this state and a person located outside this state who does not maintain an office or agent in this state for transacting business in this state, then Texas law applies unless each Texas party:

(1) is given notice that the law of the state in which another party to the contract is located applies to the contract; and

(2) agrees to the application of that state’s law.

(Texas Bus & Commerce Code Sec. 271 & 274)

Breach of contract cases is very common. The first step is to document everything possible. You should keep track of who you spoke with, what you discussed, the dates, and the times. When possible, you should also follow up any communications with written letters. If you have a breach of contract matter that you would like to discuss, please contact us.

The purpose of the contract is to ensure that both sides of an agreement are fully aware of their respective obligations. This is referred to as a “meeting of the minds.” In some cases, one or both parties may have had a different expectation of a transaction, even if the transaction was supposed to be simple. Also, sometimes there is a situation that prevents one side or the other from performing as promised. This is where you need to have a well-drafted contract. If done properly, contracts can help avoid litigation and can protect you and your business if an unexpected event occurs. A well-drafted contract can reduce risk. Contact Us for more information.

A contract for deed is a contract in which a seller holds title to a parcel of the property until all payments are made under the contract. After the final payment is made, the seller then transfers the title to the buyer. Contracts for deeds have stringent annual reporting requirements for the seller and high penalties for failure to comply.