Key Considerations For An Auckland Contract Lawyer When Reviewing Documents
The Essentials of Contractual Analysis By An Auckland Contract Lawyer
Once a contract is signed, it is binding on all parties, so it is essential that the document is a fair representation of the agreed terms and conditions. To make sure that the other party will deliver to your expectations, it is vital that you have an Auckland contract lawyer review it for you before you sign on the dotted line. Below we look at the key components of a contract that your lawyer will look for.
Clear and Precise Language
In days gone by, many legal documents were written in a way that only lawyers could understand. These days contracts are usually written in a clearer use of English. This means that there is less room for misunderstanding and as a result, any disputes later on.
However, there must still be an accurate use of English in relation to the relevant laws so, while a contract may be easier to understand, it must still be written or reviewed by an Auckland contract lawyer.
The Terms and Conditions
The essence of any contracts is the terms and conditions, the Ts and Cs, that are agreed by the signatory parties. The most common clauses refer to pricing, payment terms, deliverables, timelines, responsibilities, and obligations of each party.
Your lawyer will make sure that you understand the terms and their implications for you. They will also make sure that you agree to these terms. Finally, they will want to make sure that the Ts and Cs do not adversely affect you i.e., they are fair to your side of the deal.
Compliance with Laws and Regulations
While two parties might agree to a deal, it is vital that the agreement itself is correct under current laws. If the contract is not compliant with current legislation, it can be deemed null and void if there is any dispute. The lawyer will make sure that the document is compliant with the latest regulations for that particular area of law.
Termination and Renewal Provisions
A key, but sometimes overlooked part of a contract it the termination process. What are the requirements to terminate? Under what conditions can one party end their part to the contract?
On a similar note, what are the renewal conditions?
An experienced contract lawyer will review these clauses and make sure their clients understands the options.
Dispute Resolution Mechanisms
Many contracts end up being disputed for one reason or another. The usual recourse is for one lawyer to contact the other in an attempt to resolve the issue. Sometimes, when resolution cannot be reached, the dispute will end up in court. This is the last resort being expensive and time-consuming.
However, if there are clear dispute resolution clauses in the contract from the start, any dispute should be easier to resolve.
Confidentiality and Non-Disclosure Clauses
Some contracts are generic such as the Law Association document which is used for the sale and purchase of most real estate and many businesses. However, some contracts require a higher degree of confidentiality and even non-disclosure agreements (NDAs).
Your lawyer will check any such clauses to see that they adequately safeguard proprietary information and are enforceable under the law.
Indemnity and Liability
Indemnity and liability state any extent of either party’s responsibility for losses or damages. Your lawyer will review these clauses to make sure that you are not unfairly exposed, and that responsibility is fair and reasonable.
Intellectual Property Rights
In an increasingly competitive world where any advantage needs to be fiercely protected, intellectual property rights are vital. The lawyer will make sure that your rights are protected but also that the contract does not infringe any other party’s rights and IP.
Warranties and Guarantees
Warranties and guarantees are more than a 30-day money back promotional statement. They are promises made by a supplier. Lawyers need to confirm that they are accurate, and if necessary, are enforceable. Any misrepresentation can be a costly mistake breach of contract.
Force Majeure Clauses
Force majeure (acts of God) considers the impact of unforeseen circumstances which mean that either party cannot fulfil their side of the agreement. Common issues that need to be addressed include natural disasters, emergencies, and as we have seen in recent years, pandemics.
Amendments and Modifications
Sometimes, after a contract has been running for a while, one or both parties might want to amend the terms of the arrangement. It is much easier to get agreement on how any modifications might be made at the start rather than during the process.
Signatures and Execution
At the end of the process, your lawyer will make sure that all parties have signed the document and that it is executed correctly.
Summing Up
It is essential that you understand any obligations you might have if you sign a contract. You also need to know your rights too. Therefore, before you sign a document, get your Auckland contract lawyer to review it. This can save a lot of time, money, and energy later on.
McVeagh Fleming has a team of contract lawyers in the Auckland CBD. Click the link for more details.