What is a Breach of Contract? (And Can You Sue?)

Someone broke a promise. But is it a “Breach of Contract” in the eyes of the law? Not all broken promises are created equal. You generally cannot sue if the breach is “Minor,” but you can destroy them in court if it is “Material.” Here is the difference between an annoyance and a lawsuit.

BMT Legal Team BMT Legal Team · 📅 Jan 2026 · ⏱️ 5 min read · LEGAL › BASICS
Major
Material
Can stop payingPower
Minor
Partial
Must keep payingWarn
Limit
4-6 Yrs
Statute of LimitsFact

1. Material vs. Minor Breach: The Rule

This is the first question a judge will ask. Did they break the heart of the contract, or just scratch the paint?

Material Breach (The Deal Killer)
A failure so significant that the contract is irreparably broken.
Result: You are excused from paying and can sue for total damages.
Minor Breach (The Annoyance)
The job was done, but with small errors or delays.
Result: You must still pay the contract price, minus the cost to fix the small error. You cannot cancel the deal.

2. Real World Examples

How courts generally view common disputes.

Scenario Breach Type Your Right
Wrong Color Paint
House painted Blue instead of Green.
Material Don’t Pay & Sue
2 Days Late
House painted correctly, but late.
Minor Must Pay
Non-Payment
Client refuses to pay invoice.
Material Stop Work & Sue

3. Time Limit: The “Statute of Limitations”

Your right to sue does not last forever. In legal terms, this is your “Carryover” period. Once the clock runs out, your right to sue is gone (expired).

Timeline Status Right to Sue (Time Remaining)
Year 1 Fresh
Strong Evidence
Year 3 Aging
Memory Fades
Year 6+ Expired
Case Dismissed
Turbocharge Your Lawsuit
Critical Note: Even if the limit is 6 years, you generally should sue immediately. Emails get deleted, witnesses move away, and memories fade. Use your “time carryover” quickly to maximize your chance of winning.

4. Strategy: The “Duty to Mitigate”

You cannot sit back and let the damages pile up just to sue for more money. The law requires you to stop the bleeding.

  • The Rule: If a contractor breaks a window, you must tape it up to stop rain damage.
  • The Risk: If you let the rain ruin your $5,000 carpet, the judge will generally NOT award you money for the carpet because you failed to mitigate.

5. Warning: The “Emotional Distress” Trap

Many people want to sue for “pain and suffering” because the breach stressed them out.

⛔ No Pain Money

Contract law is cold. It only cares about financial loss.

  • ❌ “I couldn’t sleep for weeks.” (Not Compensated)
  • ❌ “They embarrassed me.” (Not Compensated)
  • ✅ “I had to pay $5,000 to fix their mess.” (Compensated)

6. Frequently Asked Questions

Is an oral contract valid?
Generally, yes. But it is hard to prove. However, contracts for real estate or those lasting over 1 year must be in writing (Statute of Frauds) to be enforceable.
Do I need a lawyer to sue?
It depends. For Small Claims Court (usually under $5,000 – $10,000), you can represent yourself. For larger cases, a lawyer is highly recommended.
How long do I have to sue?
Varies by state. Typically 4 to 6 years for written contracts. See the “Time Limit” chart above for why waiting is dangerous.