Introduction
When drafting a contract, it’s important to consider the following: The parties’ intent with the contract. The purpose of the contract. What you want each party to do under your contract. How you will enforce your rights if one party breaches the agreement
When drafting a contract, it’s important to consider the following:
When drafting a contract, it’s important to consider the following:
- The parties’ intent with the contract. What do you want to accomplish by entering into this agreement? Are you looking for something specific out of it and how will that be measured?
- The purpose of your agreement and how it fits into a larger picture. If there are other contracts involved (e.g., an employer-employee or landlord-tenant relationship), make sure they don’t conflict with one another or cause any problems down the line if there’s an issue with interpretation or enforcement.
- What each party has to do under your agreement–and how those obligations can be enforced if one party fails to perform them as promised.
The parties’ intent with the contract.
When drafting a contract, it’s important to consider the parties’ intentions with regard to the contract. For example, if one party wants to ensure that they have some control over an aspect of a project and another party doesn’t want any interference from them, these disparate goals may cause problems later on. In order for both sides to be satisfied with their agreement, it’s necessary for each side’s interests and goals to align as closely as possible.
The second thing you should consider when drafting contracts is how those agreements will impact your business overall. For example: does this new deal provide enough revenue for us? Will this new customer generate more traffic than our current ones? How can we make sure our employees are happy working under these conditions? The answers will vary based on each individual company (and even within individual departments), but it’s important nonetheless because if something isn’t working out well enough then there won’t be much chance left for improvement before everything falls apart completely!
The purpose of the contract.
A contract is an agreement between two or more parties, which must contain all of the following elements:
- Offer and acceptance
- Consideration (something of value)
- Legally-binding terms.
What you want each party to do under your contract.
The next step is to state what you want each party to do under your contract. You can do this in one of three ways:
- An obligation requires a party to perform some action or provide some product or service. For example, an obligation might be “Party A will pay Party B $10 million upon delivery of the goods.”
- A covenant creates a promise not to do something–like breaching your contract with another party by not paying them on time or giving them access to something they need for their own use (like an office space). Covenants usually have consequences if they are violated; for example, if Party A breaks its covenant with Party B by failing to make timely payments, then Party C could sue both Parties A & B for damages caused by that breach of contract.
How you will enforce your rights if one party breaches the agreement.
If you are an individual, you may want to consider suing the other party in court. If a court finds that one party has breached the agreement, it can order that person or company to pay damages to compensate for any losses caused by the breach.
For example: Suppose a business signs an agreement with another business that says they will pay $100,000 for goods and services if their project is successful. If the second company does not deliver on time or at all and does not return any money already paid by the first company (called “liquidated damages”), then it could be required by law to pay up to three times more than what was originally agreed upon–or even more if this amount would still be insufficient compensation for losses suffered due to non-performance!
Be careful when making a contract and be sure that it reflects your intentions and is enforceable.
It’s important to make sure your contract is enforceable. If you’re not sure, get advice from a lawyer.
- Be careful when making a contract and be sure that it reflects your intentions.
- Don’t use language that may be ambiguous or difficult for others to understand.
Conclusion
We hope this article has helped you better understand the considerations when drafting a contract. The most important thing to remember is that every contract should reflect your intentions and be enforceable. If you have any questions about making one, feel free to contact us at [email protected]