Every single business stands on a solid contract as its foundation. These contracts make it possible for businesses to operate and function properly. Since contracts play a crucial role in every business’ operation and order, there are different factors that need to be taken into consideration once this is being drawn or signed by the members of the board. The good thing is Rosenbaum & Taylor has contract drafting and review lawyers in New York who are here to help.
Our team of skilled professionals will help businesses throughout the entire process of drawing up the business contract. Contracts are undeniably essential in ensuring that the business has everything in writing when it comes to allocating different factors with involved parties including benefits, liabilities, and the risks involved as well. It is crucial that all contracts need to be drafted with accuracy that discusses all the provisions and liabilities of the company. In a business, it is inevitable for conflicts and problems to arise, and what the business will look at to help resolve a disaster is the contract in helping decide the next step to take.
Businesses are given the capability and power to lease or buy a space to use for their operations, purchase supplies that are required, and even hire new employees through legal contracts. By choosing to work with the NY business firm of Rosenbaum & Taylor, you’ll have the peace of mind that your interests will always be the top priority during the process where the contracts are drafted, negotiated, and/or reviewed. Every single detail is crucial and we listen to our clients to make sure that we provide them a deal that works best for all parties.
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How Do You Define Contracts That Are Legally Binding?
Legal contracts may be defined in different ways. There’s a broad spectrum for it to be considered to be law-binding. In general, it needs to contain two elements. The first element requires all parties need to be in unison with the agreement. The second element requires an exchange between the parties with something valuable. Not all contracts require a written agreement. Sometimes, cash or assets may be exchanged in return. All parties involved must be aware of what the agreement is, and what the terms are when entering the said contract.
What Are Unenforceable Contracts?
Most of the time, if both parties agree to a specific contract where an exchange of either cash or assets are agreed upon, the said contract is said to be enforceable and legally bound by the law. With that being said, the city of New York usually allows contracts to be valid and enforceable even with the absence of writing, and if it’s done via a verbal agreement. It’s important that both parties agreed to the said agreement to consider this as a legal contract. There is a law called the “Statute of Frauds” for some cases and contracts that may require an exception.
Some contracts may be unenforceable, depending on the situation, and some of these contracts may include:
- An error made by both parties which eventually leads to either one or both parties being unable to stay within the contract.
- Failure to perform the said role in the contract.
- A plaintiff who has agreed to accept payments that are beyond the values that are listed in the contract, discharging the obligation laid out in the said contract.
- One, or more parties being coerced to enter the contract.
- Mistakenly concluding that no involved parties know the contract’s terms and conditions.
- Substituting the old contract and replacing it with a new one.
- A written agreement and/or the defendant’s action, and/or the plaintiff’s inability to make the necessary actions.
- A verbal contract talking about a written agreement, such as a real estate contract done verbally.
- A contract that has listed terms that are impractical or even nearly impossible to be carried out.
- A contract that has failed to indicate essential information such as pricing, duration, or added terms, if needed.
- A contract that contains agreements that may cause public policy concerns.
- Fraud, inability to disclose full information, and/or many other various forms of misinterpretation.
- Contracts which may involve illegal activities and other subjects.
What do these things mean? Sometimes, valid and legal contracts may be invalidated if either one or more of the parties were coerced into the contract because of a mistake, pressure, or fraud.
What Are The Different Types Of Business Contracts?
Most of the time, different parties who are working on negotiating a contract won’t take any steps that can damage their business relationship with their partners. With that being said, a large percentage of individuals cannot spot a contract’s potential problem while it is still being draft- especially those who are unfamiliar with how the law goes. Sometimes, when an intelligent person drafts a contract, they may have left out some details and even written contracts that are difficult to enforce.
Rosenbaum & Taylor has a team of experienced professionals who are familiar with drafting all types of business agreements which may include but are not limited to:
- Agreements Related To Sale And Purchase
- Franchising Agreements
- Partnership Contracts
- Distributing Contracts
- Employment Contracts
- Dissolution Agreements
- Shareholder Agreements
- Manufacturing Agreements
- Agreements For Buying And Selling
- Contracts For Vendors
- Waiver Forms And Releases
- Property Contacts
- Service Contacts
- Company Operations Agreement
- Rentals Or Leases
- NDA Or Nondisclosure Agreements
- Non-Complete Agreements
- Licensing Agreements
- Master Services Agreements
- Agreements For Vendors And Independent Contractors
- Contract For Service Level Agreements
How Can A Lawyer Make Drafting A Contract Easier?
Properly drafted and written contracts offer protection to you and the entire business from an expensive litigation process in the future. Choosing Rosenbaum & Taylor, you have the peace of mind that our experienced team of New York lawyers specializing in contracts will give everything they can during the entire process.
Our legal team always makes sure that they practice due diligence when finding out more about your company to ensure you are protected during those times that the contract is being written. If there is an on-going transaction, you no longer have to do the negotiation yourself as our professional group of lawyers can negotiate on your behalf to come up with the best deal and offer. You can always trust our skilled legal team to carefully review these contracts to guarantee that there won’t be discrepancies and other issues that could hit your business.
Four Elements Of Every Well-Drafted And Written Contract
- All parties need to agree to all of the listed terms in the contract.
- All parties involved should understand the terms of the contract, and that they should be authorized to bind other party’s contract terms
- An exchange of something with value such as goods, products, services and/or money is needed.
- There should be a clear offer and that the other party has to clearly state that they accept the offer.
Why Do I Need A Lawyer To Help Me Draft My Contract?
When it comes to working on an agreement, oftentimes, some different stipulations or requirements need to be made by all parties involved. Whether you’re working on closing a legal agreement or something of a smaller scale, the contract must be perfectly laid out which makes it easier for all parties involved to understand these terms and conditions. In cases like these, working with an attorney plays a crucial role, especially when it comes to legal matters. Here are the reasons why:
Get it Right the First Time
Hiring an attorney prevents an argument even before it starts to happen. If the lawyer is the one who worked on drafting the contract, he/she may be able to find agreements and conditions for the benefit of all parties. An attorney working on this process helps prevent arguments, especially during the time that the contract is still being drafted, or once that the contract has become legally binding. With a lawyer’s help, he/she will work to make sure that the agreement contains conditions that are within all parties’ interests.
Enforcing Breached Contracts
A breach of contract is one of the most common problems may businesses encounter when dealing with another party. This is where a lawyer comes into play – he/she will make sure to take further steps or certain conditions to add to the contract preventing this breach of contract. This is one of the reasons why hiring an attorney to do this job is crucial. For instance, when the contract is being drafted, the representing attorneys will explain the contract in a way that makes it clear for all parties, preventing a breach of contract, which most of the time causes emotional and even financial stress.
When it comes to contract drafting, there’s no better way than to have it done by someone with extensive years of experience. No one else knows how these contracts should be written than an attorney. If you have opted to draft the contract yourself, there is a greater chance that the language and choice of words that you use may cause potential problems.
Some of the important details may be left out in the contract, and other important things. If an attorney drafts the contract, you are sure that the contract will be done by a professional, which includes all the essential details with the proper language used to prevent future problems.
When Do You Need To Get In Touch With A Contract Attorney?
Most businesses often wonder when they should get their lawyers involved when it comes to making deals with business contractors. Before making any business relationships, it is always important that consult with your lawyer. However, listed below are some of those situations where seeking help from an experienced authority is essential:
- When setting up a new business
- When hiring a new employee
- When your current relationship with either your vendor, distributor, or manufacturer needs to be changed
- When a new business investor is being brought upon the board
- When dissolving an existing business
- When you’re thinking of buying or selling a new business
The situations mentioned above are just some of the common scenarios where reaching out to an attorney specializing in business contracts is crucial. You may always reach out to our team of experienced business lawyers in New York if you have any questions or concerns related to your old or new agreements.
Should I Have An Attorney Review An Existing Business Contract?
For some business owners in New York, there may have been instances that they may have not a contract in place for the agreements that they’ve made in the past. Some of these business owners may also experience some issues if they have started using boilerplate contracts. While businesses focus on making and closing deals, some may have forgotten the importance of closing these deals formally through contracts, but this shouldn’t be the case.
With that being said, if you have a current deal with a client and that the client is ready to close, make sure that you let them know that you need to speak with your lawyer before you can finally do business with him/her.
Agreements were already put in place – can the contracts still be drafted? Yes – even if you already have an existing business relationship, you can still have it formalized by hiring a skilled attorney to prepare a written contract for your business. The attorney will then go through the agreement that you made, draft the contract and make sure that both parties’ interests are protected.
If your business has used a boilerplate contract, an attorney can invalidate the said contract, putting in place a new contract that represents all parties’ interests. With that being said, the said attorney will make sure that the newly drafted contract is legally binding.
What Are Essential Terms And Conditions When Drafting Business Contracts?
For most contracts, it consists mainly of different terms and conditions. These terms outline the entire agreement that both parties made. While not all contracts may have the same terms and conditions, there are some terms and conditions that should always be present, and these are:
- The parties’ duties and obligations
- List of all the parties’ rights they are entitled to have
- Payment schedules, amounts, which may also include recurring fees or penalties for delayed payments
- Steps on how to resolve disputes
- Liability limitations
- Confidentiality or non-disclosure agreements
- Indemnity clauses
During the time that the contract is being drafted, the lawyer will have to make sure that all of the parties’ interests are represented in a fair manner.
Call Our Contract Drafting And Review Lawyers in New York
If your business requires assistance with contract drafting, or if you have an existing contract that requires review, call Rosenbaum & Taylor P.C. today to schedule a free consultation with our New York business attorneys. You may also utilize our chat service from our website, or fill up our online form for further assistance.