A contract can be as simple as an offer, acceptance and handshake. While both parties were reasonable and were on an equal footing with the agreement — and most of the time it is considered legally binding — written contracts are increasingly acceptable. But even a simple contract error or supervision can cost you money or worse. Protect your business by talking to a lawyer about local contracts today. There is no particular format that must be followed by a contract. In general, it will contain certain concepts, either explicit or implicit, that will form the basis of the agreement. These conditions may include contractual clauses or contractual guarantees. There are many other reasons for having a written contract, with the exception of evidence that can be reported in litigation. A written contract ensures that all the terms of your contract are documented. In the event of a disagreement, there will be a document on which the parties can turn to restart the relationship. In short, a strong written contract can save money and strengthen a business relationship by helping to avoid litigation. Although other types of contracts may be oral, it is advisable to „receive them in writing” to ensure that both parties understand their obligations.
If judicial enforcement is necessary, a written contract shows the obligations of the parties and avoids a „he said, she says” dispute. It is easier to check before signing with a lawyer whether a contract is valid than to impose a poorly developed agreement after the problems that arise. While breaching contractual actions can be costly for your business, non-binding agreements that you thought were cemented by contract law can also be costly. TIP: If it is not possible to have a written contract, make sure you have other documentation such as emails, offers or notes of your discussions to help you identify what has been agreed. The benefits of a detailed, clear and well-written contract are immense. Making written agreements with parties with whom you deal, including customers, suppliers, contractors, partners, shareholders, LLC partners and investors, should be a basic business practice. Most contracts can be written or orally and are nevertheless legally enforceable, but some agreements must be written to be binding.