Contracts are an inevitable part of life. From signing an employment agreement, buying a house, or choosing a cell phone service, you will generally need some kind of contract. In a nutshell, a contract requires an offer, acceptance and some sort of consideration (usually money) to make it legal. However, whether you are drafting a contract or simply reviewing one that another party wants you to sign, there are certain precautions you can take to protect your interests and ensure that, if a dispute arises, you have some control over the process of resolving it.
Here are some of the most common and useful contract provisions:
A severability clause provides that if one part of the contract is considered invalid, the rest of the contract is still enforceable.
Choice of law
A choice of law provision provides that the state of your choice will govern the contract should a dispute arise. This not only gives you home court advantage but saves you the hassle of expense of traveling to a different jurisdiction in case a dispute arises.
An integration clause provides that the contract represents the entire agreement between the parties. This prevents the other party from claiming that different or additional terms were agreed to that were not represented in the contract. It’s also a good idea to specify that any changes to the contract must be made in writing and signed off on by all parties.
An arbitration clause specifies that if any kind of dispute arises it will be decided by an arbitrator, not a court of law. An arbitrator works with both sides to reach a mutually acceptable solution. It’s is a much less expensive, not to mention speedier, alternative to court.
It’s no surprise that some attorney’s charge exorbitant rates. If you wind up needing an attorney to help you with a contract dispute, a provision providing that the losing party pays your attorney’s fees can save you a lot of money and stress.
There are many other provisions that can make a contract less likely to create conflict and protect you or your company’s interests. The Law Offices of Jill Jensen Thrash can help you with drafting or negotiating a contract for services, employment agreements or any other type of contract you might require.
Call 423-834-9365 today.
Serving Chattanooga, Tennessee and the surrounding areas