Contracts are an important part of business transactions in California and all other states. Most companies work closely with their legal team to create contracts with employees, landlords and clients that are thorough and closely aligned with applicable laws. But even the most solid contract can come into question, which often leads to serious legal issues. Social media giant Twitter is currently facing lawsuits claiming breach of contract from landlords and some former employees.
Why are they suing?
Former employees of Twitter are suing for breach of contract and other labor-rights law-related offenses. Other lawsuits involve disputes associated with non-payment of rent. Landlords in San Francisco and two other cities claim that Twitter, and specifically CEO Elon Musk, is refusing to pay rent on buildings used by the company.
The lawsuit claims that Twitter owes thousands of dollars in rent to several rental companies. Most of the rent is from the use of office space last year. Elon Musk is working closely with his legal team to fight back against the allegations. He claims that some of the rental properties were not up to standard and therefore asserts that Twitter doesn’t owe rent to the landlords.
What to do when sued for breach of contract
Businesses should work with their legal team to craft contracts that are based on applicable laws and regulations in California. When a business is accused of breaching a contract, it’s important to seek legal advice immediately. These types of cases can be complicated but an attorney with knowledge of contract law can provide guidance on how to best defend one’s business when facing such allegations.