• Skip to main content
  • Skip to primary sidebar

Jay Sekulow

American attorney who serves as Chief Counsel at the American Center for Law & Justice (ACLJ)

Utilizing Contracts to Boost and Protect the Business

April 5, 2019 By Jay Sekulow Leave a Comment

Utilizing Contracts
Utilizing Contracts

When conducting business, whether as a freelancer or a leader in a startup organization, it is paramount that you protect your venture and yourself. Using an enforceable contract ensures the business is protected. There is a notion among many beginners and a few experienced business owners that a written agreement is equal to the anticipation of trouble. Contrary to the thoughts, a contract serves to protect the interests of all the involved parties. Better yet, a written agreement ensures that there is a good working relationship between all the institutions and partners or customers involved.

So how does a contract increase the chance of success and protect the interests of the involved parties?

Contracts Establish Trust between the Parties Involved

Establishing trust in any business transaction or relationship allows the business to thrive as the customers feel confident enough with the products and can freely conduct business with the said institution or person. An excellently drafted contract provides confidence by establishing the expectations of each party. In matters where money is involved, which is almost always the case, contracts help remove uncertainty while making transactions. Eventually, both parties can engage in developing their plans.

Improve Efficiency by Outlining Obligations and Remedies

Uncertainty caused by the lack of clear guidelines results in time wastage, lagging around, and eventually loss of money. A contract addresses such issues by clearly outlining obligations each party should meet. As such, upon signing, those involved can dive into their respective commitments immediately. On the other hand, the contract stipulates the remedies in the event of contract breach.

Contracts Spell Out the Procedure to Follow in Settling Disputes

Once in a while, there may rise disagreements between business partners. The disputes require settling if the business partnership is to move on. The contract provides avenues where disputes are resolved. Proceeding to court might not always be the solution. There are several other avenues such as through mediation or arbitration. The channel of solving the dispute solely lies with the parties involved.

Contracts Enable Proper Contract Termination Methods

Maintaining a better working relationship between partners is crucial if one is to succeed. Contract termination may come with challenges and taint the relationship. The contract outlines the procedure of contract termination. As such, no one party is caught unawares. Often, a termination clause requires the party terminating the contract to give notice in advance. As such, the affected party can make adjustments in matters of finance and other aspects.

Contracts Define Actions Adopted if Unforeseen Situations Arise

Often, contracts include a clause called “force majeure” that sets out parties’ obligations in the occurrence of situations such as natural disasters. As such, failing to meet the responsibilities do not attract penalties or regarded as a breach of contract.

It is evident enough that contracts come to smoothen business transaction, build trust, and improve efficiency; all aspects of the business that spur growth and contribute to success. However, while drafting a contract, it’s essential to hire the services of an experienced attorney to help in its generation. Any further transaction should, therefore, be protected by the written agreement.

Filed Under: Business Tagged With: Business Contracts, Contracts

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

About Jay Sekulow

Jay Sekulow is the Chief Counsel of the American Center for Law and Justice (ACLJ). He is a renown lawyer with a passion for protecting religious liberty, freedom, and democracy.

Recent Posts

  • The Law School Graduate who Became the First Asian Miss Texas in History
  • GWU Supports Clarence Thomas Amidst Student Protests
  • Florida Coastal School of Law Allows Loan Forgiveness
  • The Death of Derek Hogan, a Prolific N.L. Legal Aid Lawyer
  •   Another 18 Months for  U.S. Protections to Venezuelans

Recent Comments

    Archives

    • September 2022
    • August 2022
    • July 2022
    • June 2022
    • May 2022
    • April 2022
    • March 2022
    • February 2022
    • January 2022
    • December 2021
    • November 2021
    • October 2021
    • September 2021
    • August 2021
    • July 2021
    • June 2021
    • May 2021
    • April 2021
    • March 2021
    • February 2021
    • January 2021
    • December 2020
    • November 2020
    • October 2020
    • September 2020
    • August 2020
    • July 2020
    • June 2020
    • May 2020
    • April 2020
    • March 2020
    • February 2020
    • January 2020
    • December 2019
    • November 2019
    • October 2019
    • September 2019
    • August 2019
    • July 2019
    • June 2019
    • May 2019
    • April 2019
    • March 2019
    • February 2019
    • January 2019
    • May 2018
    • April 2018
    • March 2018

    Categories

    • Business
    • Family
    • Law
    • Law School
    • Legal Advice
    • Legal News
    • Legal Tips
    • News
    • Tips
    • Uncategorized

    Meta

    • Log in
    • Entries feed
    • Comments feed
    • WordPress.org

    Copyright © 2018 · Jay Sekulow