Many people think that a binding contract guarantees results, that both parties are obligated to perform the contract as written. But a contract isn't a guarantee, and contract damages are designed to compensate the non-breaching party, rather than to punish a breaching part for bad behavior. When negotiating a contract, rather than expecting that the other party will perform as agreed, each party should focus on the parties' goals and incentives to perform.
Read MoreContracts exhibits, addendums, schedules or amendments serve different purposes. Read how and when each should be used.
Read MoreEssential contract terms, such as price, describe the basic business deal. But "everything else" in the contract defines the parties' relationship and can prevent misunderstandings and later disputes.
Read MoreTerms such as "shall," "must," "will," "may," and "should” each convey different levels of obligation and discretion. Yet, legal documents or contracting parties often confuse or exchange these terms.
Read MoreThe pandemic changed how parties conduct business. Yet, many contracts include execution provisions developed in the 1990s. Read this article to learn how parties should modernized their contract execution provisions.
Read MoreBusiness owners should review their contracts and take steps to assure that contract notice provisions include options that will reach the business during a period of mandatory seclusion.
Read MoreIt has been almost half of a century since I first picked up a violin. Yet, I recently started violin lessons again. I realized that I needed to adjust my basic technique–including how I hold the violin. Like small changes in violin technique can create noticeable changes in a performance, overlooked contract provisions can change the meaning of the contract or harm the contracting parties. This article is one of several discussing contract “boilerplate” provisions and why those provisions are important. In this article, we will explore severability clauses.
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One month after my son started Suzuki violin at the age of three, I was surprised when his teacher said that he would be performing in a recital. He had barely learned to hold the violin and hadn’t yet played any notes. Contracts also have recitals. Although contracts don’t perform music, their recitals are up front and center, toward the beginning of the contract.
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