Legal Question in Business Law in Tennessee

breach of contract

We live in TN and sold a business in July. The contract of sale included the buyers obtaining contracts with several care homes (this is a social service business). With each individual care home there was a contract including a rent to be paid. The rent amount for the care homes was mentioned in the contract of sale and the buyers were to take responsibility of that. If the buyer breaches the contract with the care home by not paying the rent is that a breach of our contract with them since it was included in our contract that they uphold the care home contract?


Asked on 12/02/05, 10:53 am

1 Answer from Attorneys
James R. Becker, Jr. Becker Law Firm

Re: breach of contract

It depends on the language that was used in the contract. This is often the case with contract issues because the rights and obligations of the parties are governed by the terms of the contract.

Generally, one party's obligations to the other to a contract are not dependent on that party fulfilling his or her obligations to a third party. However, this is not always the case.

You need to take your contract to a lawyer to review with you. Also, if you are planning on taking any action, you would probably be well-served by contacting a lawyer to discuss your course of action before you take it. The old adage that an ounce of prevention is worth a pound of cure has proven true in the law countless times.

If you would like to consult with our firm to discuss these issues, please email me at [email protected].

Read more
Answered on 12/05/05, 3:23 pm


Related Questions & Answers

More Business Law questions and answers in Tennessee