Business and commercial disputes arise when one party fails to uphold its obligations within a business agreement or engages in conduct that causes financial harm to another company.
Our business & commercial litigation practice focuses on resolving disputes involving business contracts, partnership agreements, commercial transactions, service contracts, vendor relationships, and fraudulent business practices within the auto industry. We represent small businesses, corporations, entrepreneurs, and commercial entities.
These disputes often involve complex relationships between business partners, vendors, customers, and service providers, and they can significantly impact a company’s financial stability and operations. The harm in these disputes is often financial—such as lost revenue, disrupted operations, or damage to business relationships—but can also include reputational harm and long-term commercial consequences.
Business disputes may be resolved through litigation, negotiation, mediation, or arbitration. These matters are subject to the Statute of Limitations, which in Texas is generally four years for written and oral contracts unless an exception applies.
When a dispute involves a Texas governmental entity or public contract, special notice requirements and shorter timelines may apply—often requiring a formal notice of claim within six months. Failure to comply can bar recovery entirely, making timely legal action essential.
Types of Damages
Recoverable damages in auto-related business and commercial disputes depend on the nature of the agreement and the extent of financial harm. Common forms of compensation include:
- Compensatory Damages – direct financial losses, such as unpaid repair bills, unpaid fleet invoices, lost rental revenue, or breach of a dealership/vendor agreement.
- Consequential Damages – indirect losses such as business interruption, delayed fleet operations, lost commercial contracts, or supply chain damages.
- Liquidated Damages – pre-set amounts in contracts related to delayed vehicle delivery, missed service milestones, or failure to meet volume commitments.
- Restitution – repayment for money or benefits improperly retained, such as keeping deposits or payments without delivering services or vehicles.
- Specific Performance – court-ordered completion of the agreement, such as delivering contracted fleet vehicles or performing required auto services.
Allocation of Responsibility
In commercial auto disputes, businesses often argue that the opposing party contributed to the issue. These often include delays in providing required documentation or approvals, failure to make timely payments, incomplete or inaccurate service or fleet instructions, failing to inspect or accept vehicles within required timelines, or failing to mitigate damages, such as by securing alternative transportation. Texas courts may evaluate each party’s actions when determining liability and potential damages in commercial litigation—especially when one party’s conduct hindered performance or escalated the dispute.
Contractual and Statutory Liability
Many obligations in the automotive sector arise directly from contractual terms or specific statutory requirements. These typically include dealership–vendor and supply contracts, repair facility service agreements, body shop repair authorizations, rental fleet and commercial fleet agreements, parts and warranty obligations, title and financing compliance, and obligations under the Texas Business & Commerce Code. If a business fails to meet these contractual or statutory requirements—even without intentional wrongdoing—it may still be liable for resulting damages. This framework ensures dealerships, fleets, rental companies, and automotive service providers can enforce agreements and protect their commercial interests.