Navigating Contract Disputes During the Holiday Rush | Ryan & Rouse

The holiday season often brings a whirlwind of activity — booming orders, tight timelines, and the pressure to meet year-end goals. Just when everything seems to be running at full speed, a contract hiccup can derail even the best-laid plans. It’s a stressful moment for any business, especially during a time when delays and disruptions feel amplified. That’s why staying contract‑savvy during this busy period matters more than ever.

Holiday‑specific challenges can cause legal missteps to sneak up unexpectedly. Below are practical ways to stay prepared, minimize risk, and handle issues before they escalate.

Watch Out for Seasonal Contracts

• Short-term or high‑volume agreements are common this time of year.
• Make sure terms, deadlines, and remedies for breach are crystal clear.
• Double-check expectations before signing — speed should never replace clarity.

Fulfillment Problems Happen

Higher demand increases the likelihood of errors, shortages, and shipment mix‑ups. Ensure your contracts address:

• How fulfillment mistakes will be corrected
• Who bears the cost of replacement or expedited delivery
• What timeline applies for notifying the other party

Vendor Delays Are More Common Than You Think

Weather, supply chain bottlenecks, and shipping slowdowns often cause missed deadlines. Understand both your rights and obligations — and check whether the contract accounts for these realities.

Payment Disputes Rise During Cash Flow Crunches

Late or missed payments can become more frequent around the holidays. Solid contract language and proactive communication are essential to keeping disputes from escalating.

Proactive Protection Pays Off

Some of the best strategies for preventing disputes include:

• Reviewing seasonal agreements early
• Documenting expectations with partners
• Keeping all communications in writing

Important Clauses to Revisit Now

• Notice & Documentation Requirements: Many contracts require written notice within a set timeframe. For example: “Some contracts require formal written notice within days of a missed deadline. Failing to act quickly can limit your remedies.”
• Dispute Resolution Clauses: Check whether your contract requires litigation, arbitration, or mediation. “Review dispute resolution clauses now — the process outlined in your contract can affect your options if problems arise.”
• Risk Allocation / Force Majeure: Look for clauses that address delays caused by events outside your control. “Check whether your agreements include force majeure or risk‑shifting provisions that may excuse performance — or leave you exposed.”
• Proactive Legal Review: “A quick legal review of your seasonal agreements can help prevent costly surprises down the line.”

Steps to Take When Conflicts Arise

Review the Contract Thoroughly

Confirm deadlines, notice requirements, and remedies. Look for cure periods, force majeure language, and dispute resolution procedures.

Preserve Documentation

• Save purchase orders, invoices, receipts, and correspondence.
• Document delays, errors, and your responses.
• Keep records of your own performance.

Provide Timely Written Notice

Many agreements require written notice — sometimes in a specific format or to a designated address. Failing to follow the procedure can waive your rights.

Mitigate Damages

The law requires reasonable steps to minimize losses. If a vendor misses a delivery, for example, you may need to seek an alternate supplier rather than simply absorbing the loss.

Communicate Promptly and Professionally

Clear communication can resolve many disputes early. Avoid informal concessions, and consider running communications by counsel if tensions escalate.

Consider ADR Options

Mediation or arbitration may resolve issues faster — and some contracts require them before going to court.

Know When to Escalate

If the dispute threatens operations or contractual rights, seek legal advice immediately. Early intervention can prevent further damage.

Protect Important Relationships

While asserting your rights, weigh the long-term value of vendor and customer partnerships. Sometimes modifying deadlines or restructuring terms protects both sides.

Plan Ahead for Next Season

Use this year’s challenges to strengthen next year’s contracts — clearer remedies, tighter deadlines, and improved dispute resolution terms.

Holiday contract disputes may be common, but they’re manageable with the right approach. Stay vigilant, stay proactive, and remember that legal support is available if you need it. Take time now to review your seasonal contracts — and consider seeking legal guidance before small issues turn into major disruptions.