Breach of Contract as a Cause of Action in California

Breach of contract as a cause of action in California applies when one party fails to perform obligations required by an enforceable agreement and the other party suffers damages as a result. Under D’Arrigo Bros. of California v. United Farmworkers of America, a plaintiff must establish four elements: the existence of a contract, the plaintiff’s performance or excuse for nonperformance, the defendant’s breach, and resulting damages.

Existence of a Contract in a California Breach of Contract Claim

The first element requires proof that a contract existed between the parties. A contract generally reflects an agreement in which the parties accepted specific obligations or promises.

The plaintiff should be able to identify the agreement and show the terms that created the duties involved in the dispute. Depending on the circumstances, the contract may be shown through a written agreement, communications, records, or other evidence demonstrating what the parties agreed to do.

This element provides the foundation for breach of contract as a cause of action in California. Without a contract, there is no contractual duty for the defendant to violate. The plaintiff therefore must establish the agreement before focusing on whether its terms were breached.

Plaintiff’s Performance or Excuse for Nonperformance

The second element requires the plaintiff to show performance of the contract or a valid excuse for not performing. In ordinary terms, the plaintiff must establish that the plaintiff did what the agreement required, unless there was a legally sufficient reason for not doing so.

Performance may include making required payments, delivering goods, providing services, or completing another promised obligation. The exact conduct depends on the terms of the contract.

This requirement matters because a party seeking to enforce an agreement generally must address its own obligations under that agreement. A plaintiff who did not perform must show an excuse for that nonperformance as part of the claim.

Defendant’s Breach of the Contract

The third element requires proof that the defendant breached the contract. A breach occurs when the defendant fails to perform an obligation required by the agreement.

Examples may include failing to make a required payment, refusing to provide promised services, failing to deliver agreed goods, or otherwise acting contrary to a contractual obligation. The plaintiff must connect the defendant’s conduct to a particular duty imposed by the agreement.

This element is central to a California breach of contract claim because dissatisfaction alone is not enough. The plaintiff must identify what the defendant was required to do and explain how the defendant failed to meet that obligation.

Resulting Damages from the Breach

The fourth element requires the plaintiff to prove damages resulting from the defendant’s breach. The plaintiff must show that the contractual violation caused an actual loss.

The type of damages will depend on the agreement and the circumstances. Relevant evidence may include invoices, payment records, business records, receipts, correspondence, or other documents showing the financial effect of the breach.

This element connects the defendant’s failure to perform with the loss claimed by the plaintiff. Breach of contract as a cause of action in California therefore requires more than showing that the agreement was violated, the plaintiff must also establish resulting damages.

Conclusion

Breach of contract as a cause of action in California requires proof of four elements. The plaintiff must establish the existence of a contract, the plaintiff’s performance or excuse for nonperformance, the defendant’s breach, and damages resulting from that breach. Each element addresses a separate part of the dispute, and all four must be established for the plaintiff to succeed on the claim.

Find the Law

“Establishing that claim requires a showing of ‘(1) the existence of the contract, (2) plaintiff’s performance or excuse for nonperformance, (3) defendant’s breach, and (4) the resulting damages to the plaintiff.’ (Oasis West Realty, LLC v. Goldman, supra, 51 Cal.4th at p. 821, citing Reichert v. General Ins. Co. (1968) 68 Cal.2d 822, 830 [69 Cal.Rptr. 321, 442 P.2d 377].)” D’Arrigo Bros, of California v. United Farmworkers of America, 224 Cal.App.4th 790, 800 (2014).