What Happens if Your Settlement Agreement is Breached?

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Understanding Settlement Agreement Breaches

Settling a legal claim is often the best option for many individuals to avoid the costs, time, and stress of a trial. However, what happens when the defendant fails to honor the terms of a settlement agreement? Understanding your rights in such a situation is essential.

The Importance of Settlement Agreements

Settlement agreements are legal contracts between the parties involved in a lawsuit. They are designed to resolve disputes prior to, and even during, trial. These agreements usually include terms regarding compensation and actions that both parties must take. Once both parties agree and the plaintiff dismisses the case, the agreement becomes legally binding.

What Happens When a Settlement is Breached?

If, subsequently, a defendant refuses to comply with the terms of a settlement, it can lead to significant financial and emotional strain for the plaintiff. Fortunately, California law provides recourse. Under California Code of Civil Procedure Section 664.6, the court can retain jurisdiction over a dismissed case for the purpose of enforcing settlement terms.

Enforcing a Settlement Agreement

When a defendant breaches a settlement agreement, the plaintiff can return to the court and request that a judge enforce the terms. This means the court may issue a judgment ordering the defendant to pay. If the defendant fails to comply, the plaintiff can pursue legal action to recover the money owed, including wage garnishment or property liens.

Get Legal Help

If you find yourself in a situation where a settlement agreement has been breached, you may be entitled to compensation through legal action. At the Law Offices of Ali Taheripour, we can help you navigate the legal process and ensure your rights are protected. Our experienced attorneys will review your settlement agreement and assist you in enforcing it.

Contact us today to discuss your case.


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