In a straightforward situation, you might have evidence that you have in fact fulfilled the contract - for example, a signed delivery note confirming that the correct goods were received on time and in satisfactory condition.
Often, however, the evidence will be less clear cut. For example, there might be a dispute over the quality of a service you supplied, or you might have delivered the correct goods but after the agreed date. In a situation like this, your first priority will be to resolve the dispute. You may then need to aim for a compromise, taking into account any genuine shortcomings in your performance and the extent to which they adversely affected your customer. Your solicitor will be able to advise you on what is reasonable in the circumstances.
If you can show that you negotiated in good faith and tried to reach a reasonable agreement, you will be in a stronger position if the dispute does reach the courts.