The breach of a construction contract can immediately disrupt an expensive California real estate project. Our state law offers explicit protections, but property owners must follow a deliberate process to avoid weakening potential claims.
The construction and real estate lawyers at Furukawa Castles Karic LLP share the following information about how to handle the breach of a construction contract and the first steps toward safeguarding your property, your finances, and your legal position.
Understanding What Constitutes a Breach
A construction contract breach occurs when a contractor or owner fails to perform a required obligation under a valid agreement. California distinguishes between minor issues and a material breach, which is a serious violation that undermines the contract’s purpose.
Examples may include:
- Abandoning the project
- Performing unsafe or defective work
- Missing significant deadlines without justification
- Using inferior materials that violate specifications or local building codes
While minor problems require giving notice and an opportunity to correct the work, a material breach may justify pausing payment, terminating the agreement, and seeking damages.
What Property Owners Should Do First
If you think a contractor may have committed a material breach, organized documentation is essential. Your contract, change orders, emails, texts, photos, videos, inspection reports, and payment records provide the foundation for any claim you may have.
Before taking action, compare what your contract required with what occurred on-site. If deadlines, quality standards, or scope-of-work provisions were not met, you may have grounds to proceed.
California construction contracts often impose notice-and-cure requirements. In appropriate situations, pausing payments while you evaluate your rights can preserve leverage and reduce the risk that disputes escalate.
Immediate Steps To Protect Your Position
An experienced construction lawyer can help you with a structured approach to preserve evidence and avoid unintended mistakes, possibly including:
- Sending a written notice describing the defective or incomplete work
- Avoiding repairing or removing work until it is fully documented
- Considering a neutral professional inspection to identify defects or code violations
Your next steps may depend on the agreement’s construction contract dispute resolution provisions, which sometimes require mediation or arbitration before bringing legal action.
How a Construction Lawyer Can Help You Understand and Protect Your Claim
An experienced California construction lawyer can help you clarify whether the breach is minor, material, or linked to misunderstandings in the contract. Counsel can handle communications with the contractor to prevent intimidation, preserve leverage, and avoid statements that could later be misinterpreted.
A lawyer may also prepare a formal breach letter, coordinate professional inspections, assess potential damages, and determine whether mediation, arbitration, or litigation is appropriate under your contract.
Avoiding Common Missteps
Acting impulsively can complicate your claim. Be cautious about certain actions without legal advice, including:
- Paying additional funds to encourage completion
- Relying solely on verbal communication
- Blocking access to the site without advice
- Hiring a replacement contractor before the breach is documented
Contact Furukawa Castles Karic LLP for Legal Representation Regarding Construction Contract Breaches
If you believe your construction contract has been breached in the Bay Area, contact Furukawa Castles Karic LLP at (415) 510-2823 to discuss your legal options and a practical path forward under California law.