Posts

When Business Agreements Break Down, Legal Action May Be the Only Way Forward

In Mississippi business, contracts are more than just paper—they’re promises. Whether it’s a handshake deal between local vendors or a formal written agreement between two corporations, businesses across the state rely on contracts to ensure services are delivered, products are paid for, and expectations are honored. But what happens when one party doesn’t follow through?

A breach of contract can disrupt cash flow, delay projects, damage business relationships, and even threaten the survival of a company. When that happens, legal options are available—but enforcing or defending against a contract claim in Mississippi requires a clear understanding of the law, evidence, and strategy.

At Barrett Law, PLLC, we represent both plaintiffs and defendants in breach of contract lawsuits across Mississippi. As a seasoned Mississippi business litigation attorney, Jonathan Barrett brings decades of courtroom experience to companies in Jackson, Hattiesburg, Gulfport, and beyond. Whether you need to recover damages for nonpayment or protect your business from an unfair claim, we’re here to help.


Understanding Breach of Contract Under Mississippi Law

At its core, a breach of contract occurs when one party fails to perform their obligations under a valid and enforceable agreement. Mississippi contract law generally requires the following elements:

  1. A valid contract exists (written or oral)

  2. The plaintiff performed their obligations under the contract

  3. The defendant failed to perform as promised

  4. The plaintiff suffered damages as a result

Mississippi courts enforce both written and oral contracts, although written contracts are generally easier to prove. Courts may also enforce implied contracts where the parties’ conduct shows mutual agreement.

Some examples of business-related contract breaches include:

  • A vendor fails to deliver goods by the agreed date

  • A customer refuses to pay for completed work

  • A contractor delivers substandard services in violation of the agreement

  • A partner violates a non-compete or confidentiality clause


Types of Breaches Recognized in Mississippi

Material Breach
A significant failure that goes to the heart of the agreement, allowing the non-breaching party to sue for damages or terminate the contract.

Minor Breach (Partial Breach)
A less serious failure that may still warrant damages but does not excuse the other party from performing.

Anticipatory Breach
When one party communicates in advance that they won’t fulfill their obligations, the other party may sue immediately.


Filing a Breach of Contract Lawsuit in Mississippi

To file a breach of contract claim, the plaintiff must file a civil complaint in the appropriate Mississippi court—typically the County or Circuit Court, depending on the amount in controversy and type of dispute.

Essential steps include:

  • Reviewing the contract: Ensuring it’s valid and enforceable

  • Gathering documentation: Emails, invoices, text messages, correspondence, and proof of performance

  • Sending a demand letter: In many cases, businesses attempt resolution before initiating litigation

  • Filing a complaint: Laying out the claim, identifying the breach, and demanding relief

If the case goes to trial, both sides will present evidence, and the court may award monetary damages, specific performance, or other equitable relief.


Defending Against a Breach of Contract Claim

If your business is being sued for breach of contract, you still have options. Common defenses include:

  • No valid contract existed

  • The plaintiff breached first

  • The contract was ambiguous or unconscionable

  • Performance was impossible or impractical

  • The statute of limitations has expired

Mississippi has a three-year statute of limitations on most written and oral contract claims (Miss. Code Ann. § 15-1-49), but this can vary depending on specific facts.

At Barrett Law, PLLC, we aggressively defend businesses accused of breach, ensuring their side of the story is heard, their exposure is minimized, and their contractual rights are enforced.


Who Is Affected by Contract Disputes in Mississippi?

Contract disputes impact a wide range of businesses, including:

  • Construction companies in disputes over delayed completion or defective work

  • Retailers or suppliers dealing with non-payment or late deliveries

  • Professional service providers (architects, consultants, lawyers, etc.) facing billing or performance issues

  • Healthcare providers in contractual conflicts with insurers or vendors

  • Manufacturers and distributors in logistics and supply chain disagreements

  • Small business owners in conflicts with customers, vendors, or partners

We understand how disruptive these disputes can be, especially for Mississippi companies relying on predictability, timing, and trust to operate profitably.


Mississippi Laws That Govern Contract Disputes

Mississippi contract law is governed by a mix of common law principles and statutes. Some key provisions include:

  • Miss. Code Ann. § 15-1-49 – General statute of limitations for contract claims (3 years)

  • Mississippi Uniform Commercial Code (UCC) – Governs contracts for the sale of goods (Title 75)

  • Miss. Code Ann. § 15-3-1 – Statute of frauds (certain contracts must be in writing to be enforceable)

Courts consider contract language, industry standards, course of dealing, and performance history when determining liability and damages.


Practical Tips for Businesses in Contract Disputes

Whether filing a claim or defending one, here are important steps to protect your company:

  1. Review the contract thoroughly
    Understand every clause—especially those related to performance, termination, and dispute resolution.

  2. Document everything
    Keep written records of communications, performance milestones, invoices, and any signs of disagreement.

  3. Understand your goals
    Decide whether you want to sue for money, force the other party to perform, or negotiate a settlement.

  4. Avoid informal amendments
    Verbal side deals or changes outside of the written contract can complicate your case.

  5. Act quickly
    Waiting too long may result in waived rights or missed legal deadlines.

  6. Consult with a lawyer early
    An attorney can help assess the strength of your claim or defense before significant costs are incurred.


Frequently Asked Questions About Breach of Contract in Mississippi

What is considered a valid contract under Mississippi law?

A valid contract in Mississippi must include an offer, acceptance, consideration (something of value exchanged), mutual intent to be bound, and legal purpose. Contracts can be written, oral, or implied by conduct.

Do I need a written contract to file a lawsuit?

No, Mississippi courts recognize oral and implied contracts. However, some contracts must be in writing under the Statute of Frauds, such as agreements involving land or those not performable within one year.

What types of damages can I recover?

Damages may include direct losses (lost revenue, increased costs), consequential damages (lost profits), and sometimes attorney’s fees or court costs—if allowed by the contract. In rare cases, equitable remedies like specific performance may apply.

What is the statute of limitations for breach of contract in Mississippi?

The general time limit is three years from the date the breach occurred. However, exceptions may apply depending on the type of contract and nature of the claim.

What if both parties breached the contract?

If both sides failed to perform, courts may reduce damages or find neither party entitled to relief. However, the party who materially breached first may lose their right to enforce the contract.

Can I recover attorney’s fees if I win?

Only if the contract includes a provision for attorney’s fees or if a specific statute allows it. Otherwise, each party typically pays their own legal fees in Mississippi.

What if the other party claims they didn’t understand the contract?

Mississippi law generally holds people accountable for contracts they sign. Claims of misunderstanding may be dismissed unless there was fraud, duress, or unconscionable terms.

What’s the difference between material and minor breach?

A material breach is serious enough to justify ending the contract or suing for damages. A minor breach does not excuse the other party from continuing performance but may still result in compensation.

Can I still sue if I partially performed?

Yes. If you performed part of the contract and the other party failed to hold up their end, you may still be entitled to recover damages for the work or value delivered.

Should I try to settle before going to court?

Yes. Settlement is often faster, less expensive, and less disruptive than litigation. However, settlements should always be reviewed by an attorney and properly documented in writing.


Has Your Business Suffered Losses and Damages in Mississippi? Call Mississippi Business Litigation Attorney Jonathan Barrett 24/7/365 at (601) 790-1505 for Your FREE Consultation

If your business has been harmed by a breach of contract—or if your company is facing a lawsuit—now is the time to act. At Barrett Law, PLLC, we represent both plaintiffs and defendants in Mississippi business litigation. We understand the value of your time, the importance of preserving your reputation, and the financial stakes involved in every contract dispute.

Whether it’s a failed business agreement, a broken delivery promise, or an unpaid invoice, we will work tirelessly to protect your rights and pursue the outcome your business deserves.


Jonathan Barrett Fights for Mississippi Businesses – Call 24/7/365 at (601) 790-1505 to Receive Your FREE Consultation

Barrett Law, PLLC proudly represents businesses throughout the State of Mississippi, including Jackson, Gulfport, Southaven, Hattiesburg, Biloxi, Olive Branch, Tupelo, Meridian, Pearl, Madison, Greenville, Oxford, Clinton, Horn Lake, and Brandon. We handle complex contract litigation and business disputes with focus, urgency, and a commitment to results.

Understanding Business Disputes in Mississippi

Business owners in Mississippi work hard to grow, operate, and maintain their companies. But even with careful planning, legal disputes can arise—and when they do, they can quickly become costly, time-consuming, and emotionally draining. From unpaid invoices to broken partnerships and false promises, the reality is that no business is immune to conflict.

At Barrett Law, PLLC, we’ve spent decades representing Mississippi businesses in courtrooms, mediation rooms, and negotiation tables. I’m Jonathan Barrett, a Mississippi business litigation attorney committed to helping business owners resolve disputes, recover damages, and protect what they’ve built.

Whether you’re dealing with a breach of contract, a partnership gone wrong, a fraudulent transaction, or simply trying to collect on unpaid debts, knowing your legal rights is the first step. Business litigation in Mississippi is governed by state statutes, court rules, and case law, but it also depends heavily on how your contracts are written and how quickly you act.

This blog will cover the most common causes of business disputes in Mississippi, the legal remedies available, and how to position your company for success if litigation becomes necessary.


Breach of Contract: When One Party Fails to Deliver

Breach of contract is the most common cause of business litigation in Mississippi. These cases arise when one party fails to honor the terms of a written or verbal agreement—whether it’s failing to deliver goods, pay for services, meet deadlines, or fulfill obligations.

Mississippi recognizes valid contracts under common law principles, and most business agreements are enforceable if they include an offer, acceptance, consideration, and clear terms.

Common examples of contract breaches include:

  • A supplier fails to deliver materials on time, halting your production.

  • A client refuses to pay after work is completed.

  • A vendor violates exclusivity or pricing terms.

  • A contractor walks off a job before finishing.

Under Mississippi law, the injured party in a breach of contract case may sue for damages, specific performance, or cancellation. The Mississippi Supreme Court has upheld the right to recover actual damages as well as lost profits when provable.

We work with businesses throughout Mississippi to identify the breach, preserve written evidence (emails, invoices, signed agreements), and present a compelling legal claim for full recovery.


Partnership and Shareholder Disputes: When Business Owners Clash

Partnership disputes can become deeply personal, especially in family-run businesses or closely held LLCs. These conflicts often arise when co-owners disagree over the direction of the business, finances, or management responsibilities.

Some common partnership disputes involve:

  • One partner misusing company funds or property.

  • Disagreements over salaries, distributions, or reinvestment.

  • Accusations of self-dealing or breach of fiduciary duty.

  • Deadlock in voting or strategic decisions.

Mississippi courts will often enforce operating agreements, partnership agreements, or shareholder bylaws. When no written agreement exists—or when the agreement is silent on a specific issue—courts will look to common law principles or the Mississippi Uniform Partnership Act or Limited Liability Company Act (Miss. Code Ann. § 79-29-101 et seq.).

Legal remedies may include:

  • Forced buyouts.

  • Judicial dissolution of the business.

  • Injunctions to stop misuse of assets.

  • Claims for breach of fiduciary duty and damages.

Barrett Law, PLLC assists business owners with both pre-litigation strategy and courtroom enforcement when partners cannot resolve their differences amicably.


Non-Payment and Accounts Receivable Disputes

Many Mississippi businesses struggle with unpaid invoices or slow-paying clients. When polite requests and late fees don’t work, legal action may be required.

Common payment-related claims include:

  • Failure to pay for services rendered.

  • Returned checks or refused payments.

  • Clients disputing charges after accepting delivery.

  • Recurring contract clients refusing to renew or pay final invoices.

In Mississippi, businesses can file suit in justice, county, or circuit court depending on the amount in dispute. Legal claims may include breach of contract, account stated, or open account under Miss. Code Ann. § 11-7-161.

It’s important to act quickly. Mississippi imposes a three-year statute of limitations on many debt-related lawsuits, and waiting too long can forfeit your right to sue.

Our firm often helps clients file demand letters, negotiate settlements, and if necessary, pursue full court judgments to recover what’s owed—plus interest and court costs when applicable.


Fraud and Misrepresentation in Mississippi Business Deals

Fraud occurs when one party intentionally misrepresents material facts to induce another into a business deal. Unlike a simple breach of contract, fraud involves deception, and proving it can entitle the victim to punitive damages in some cases.

Examples of business fraud include:

  • A seller falsifying income or financial statements during a business sale.

  • A buyer concealing the true purpose of an acquisition.

  • A vendor lying about product quality or capabilities.

  • A partner misrepresenting business assets or liabilities.

Under Mississippi law, fraud claims must show:

  1. A false representation.

  2. Knowledge of its falsity.

  3. Intent to deceive.

  4. Justifiable reliance by the victim.

  5. Resulting damages.

These are complex cases, but Barrett Law, PLLC has the experience to investigate, build the necessary factual record, and take action in state or federal court if necessary.


Who Is Affected by Business Disputes—and How We Can Help

Business litigation affects companies of all sizes—from solo contractors to regional corporations. Common clients include:

  • Service providers owed money by clients.

  • Manufacturers with broken supply chain contracts.

  • Shareholders or partners dealing with internal mismanagement.

  • Small businesses affected by fraud or misleading agreements.

At Barrett Law, PLLC, we represent both plaintiffs and defendants in business litigation. Whether you need to file suit or respond to a demand letter or complaint, we can guide you through the process with confidence.


Understanding the Legal Framework in Mississippi

Business litigation in Mississippi is governed by a variety of laws depending on the nature of the dispute. Some key sources include:

  • Mississippi Code Annotated Title 75 and Title 79 (contracts, business organizations)

  • Miss. Code Ann. § 15-1-49 (three-year statute of limitations for breach of contract)

  • Mississippi Rules of Civil Procedure (governing how lawsuits are filed and litigated)

  • Federal law, where applicable in fraud or multi-jurisdiction disputes

We work closely with clients to ensure proper jurisdiction, venue, pleadings, and strategy are in place from day one.


Practical Tips to Protect Your Business from Litigation

  • Put everything in writing. Oral agreements are harder to enforce.

  • Use professionally drafted contracts with clear terms, payment deadlines, and dispute resolution clauses.

  • Monitor receivables closely and take early action on late accounts.

  • Keep records of communications, invoices, and performance.

  • Conduct due diligence on new partners or clients.

  • Consult with an attorney at the first sign of trouble.

Barrett Law, PLLC is available to provide proactive contract drafting and litigation support when disputes arise.


FAQs About Mississippi Business Disputes

What’s the difference between breach of contract and fraud?

Breach of contract occurs when a party fails to perform as promised. Fraud involves intentional deception. The legal standards and potential damages differ significantly.

Can I sue a former business partner for taking clients?

Yes, depending on your partnership or operating agreement. If the conduct breaches fiduciary duties or non-solicitation clauses, legal action may be appropriate.

How long do I have to file a business lawsuit in Mississippi?

Most business-related lawsuits must be filed within three years of the incident, under Miss. Code Ann. § 15-1-49. Some claims, like those involving written contracts, may have different timeframes.

Can I recover attorney’s fees?

Only if your contract includes an attorney’s fees provision or if a specific statute allows for it. Most Mississippi cases follow the “American Rule,” meaning each side pays its own fees unless otherwise agreed.

Do I have to go to court?

Not always. Many business disputes are resolved through mediation, arbitration, or negotiated settlements. But having a litigation-ready lawyer improves your leverage.

Can I sue for future lost profits?

Yes, if they can be proven with reasonable certainty. Courts require documentation, industry evidence, and expert testimony in some cases.

What if the other party is in another state?

You may be able to sue in Mississippi if there are sufficient business contacts. We help clients evaluate jurisdiction and venue issues in interstate disputes.

What happens if I’m sued?

You must respond promptly to avoid a default judgment. Call a lawyer immediately and gather all documentation related to the claim.

Can I sue a vendor or supplier for delivering defective products?

Yes. You may have a claim for breach of contract, breach of warranty, or product liability depending on the circumstances.

What is a fiduciary duty?

A fiduciary duty is a legal obligation to act in another’s best interest. Partners, shareholders, and LLC members owe these duties to one another under Mississippi law.


Has Your Business Suffered Losses and Damages in Mississippi? Call Mississippi Business Litigation Attorney Jonathan Barrett 24/7/365 at (601) 790-1505 for Your FREE Consultation

When your business faces a serious dispute, quick and decisive legal action matters. Whether you’ve been wronged by a client, vendor, partner, or competitor, Barrett Law, PLLC is here to help you enforce your rights and recover what your business is owed. We handle breach of contract, fraud, non-payment, and partnership litigation across Mississippi.

We represent clients throughout the Mississippi Gulf Coast, Central Mississippi, Northern Mississippi, and Southern Mississippi, including the cities of Jackson, Gulfport, Southaven, Hattiesburg, Biloxi, Olive Branch, Tupelo, Meridian, Pearl, Madison, Greenville, Oxford, Clinton, Horn Lake, and Brandon, MS.


Jonathan Barrett Fights for Mississippi Businesses – Call 24/7/365 at (601) 790-1505 to Receive Your FREE Consultation