Why are Written Contracts Important?
Are you ensuring that you have a good written contract in place with people or organizations you are doing business with? Why is this important?
As a general rule, individuals know that having promises in writing is a best practices policy. However, few truly understand the long-term implications of not having a well drafted contract in place.
1. Payment. The most important reason for entering into a well-executed contract is being paid the proper amount at the proper time for the proper work. If the contract does not explicitly state the amount of payment, the time for payment, and any conditions surrounding when payment is proper, then litigation could very well be on its way.
2. Enforcement. If a contract is drafted poorly or there is not a contract in place at all, then there is essentially no easy way to enforce the terms of the contract. Trying to take a matter to court or to mediation without a document that clearly lays out the terms is a sure fire way to waste time and money.
3. Relationship. Not having a contract in place can strain relationships when each party has a different idea of the agreement. When the agreement is transcribed into writing it is much less burdensome to go back to the contract to work out the misunderstandings.
Contract drafting is extremely important and a good contract can make our break a business deal. Sometimes a template will suffice when a deal is simple, but sometimes an entirely new and intricate contract needs to be drafted and it is best to have contract experts to help with the process. Intuitive Edge can be your one-stop contract experts ranging in expertise from simple templates all the way up to multi-million dollar contracts. Intuitive Edge also offers ongoing monitoring and maintenance of all your agreements. Contact us today to see how we can help with your contract needs.
Written by Intuitive Edge Team