Is it possible to get out of a contract if the business you are contracted too has not provided the service you are paying for?

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Is it possible to get out of a contract if the business you are contracted too has not provided the service you are paying for?

This contract was set many years ago. My wife was talked into the contract by a fast talking salesman. The contract was for advertising for her new business. She received very little for her money. The service never brought her a single customer and this firm is now saying she owes $20,000. She has a small Dog Grooming business. They are now telling her she must pay $500 a month or they will sue. This is a good deal of her monthly profit.

Asked on June 26, 2012 under Bankruptcy Law, Michigan

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

If the other party breached the contract in a material or important way, such as by fulfiling its obligations, that can provide grounds to terminate the contract and not pay. Or if they misrepresented (lied) to your wife about what they could or would do in order to get her to sign the contract, that could be fraud, which could provide grounds to void the contract. From what you write, your wife may have viable defenses to her liability under this contract; however, given how much money is at stake, your wife should hire an attorney to help defend her in this case. Good luck.


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