The business who has been harmed is responsible for mitigating the damages in a New York breach of contract case. If your business has been damaged, it is expected to mitigate losses by making reasonable efforts to offset losses when possible. But what is reasonable? It means the injured party must do what a reasonable person under the same circumstances would do, taking all relevant information into consideration. Many experienced business people do not understand the responsibility to mitigate damages, or the ramifications of the failure to take action to reduce or eliminate losses. New York businesses are able to recover for the financial losses or “damages” associated with a breach of contract. However, the law requires them to take prompt, prudent and substantial steps to mitigate the impact of the breach upon their own business. This may require them to make arrangements with downstream consumers or customers who were affected by the breach.
It may also be necessary to find alternative sources who can provide the “benefit of the bargain” anticipated in the original contract prior to the breach. The experienced breach of contract attorneys at the The Law Office of Frederic R. Abramson advise our clients at every step of this process, and protect their legal and financial interests in breach of contract cases.
We take a unique approach to resolving disputes associated with a breach of contract that resolves them quickly and efficiently. Part of mitigating the damages in a New York breach of contract case is to reach out to the other contract party and negotiate a “work around” or amended terms that allow them to perform on the original agreement. They are of course responsible for the additional costs you've been forced to bear for the breach, but this strategy preserves important business relationships while resolving critical business issues like a breach of contract quickly and cost-effectively.