,

What are some crucial mistakes that end up in business contracts in Tennessee?

Nashville, TN – Proper contract formation is crucial to the operations of any business. There will need to be contracts with employees, other businesses, vendors, and various other parties throughout the life of the company. However, there are some problems that happen regularly in business contracts, and unresolved disputes can end up in court. In order to avoid costs associated with litigation and legal fees, businesses should have an experienced lawyer draft and review all of their contracts. 

Aiming too high

Especially when a business is new, it is common for owners to make promises in contracts that they simply cannot keep. Being too ambitious can lead to things like very large orders that cannot be fulfilled and shipped, or taking on a project without enough time for a realistic completion. When these kinds of unrealistic goals are placed in a contract, the party will technically be breaching the terms if they cannot fulfill the terms of the document. This can certainly result in legal action against the breaching party. 

Letting the other side create an entire contract

Some businesses will sign off on contracts created by others that they may not understand or even bother to read. This can become a huge problem if the business is suddenly bound to a deal that they cannot complete. It is also possible that the person who signed the contract on behalf of the business may not have totally understood what they were getting into. There is a high probability that the contract will be breached at a later time if this is true. 

Not allowing for contingencies

It is possible to draft contracts that account for sudden unexpected issues, disasters, and other emergencies. These kinds of contingencies can be a crucial form of protection for a business, especially when it is not entirely clear whether the business can complete the deal or not. 

Documents that are vague

If a contract is lacking in the proper form or elements necessary for a complete agreement, it is likely that the contract is not legally enforceable. There is also the possibility that things like prices, amounts, intellectual property, and durations may be missing from a poorly drafted contract. The best way to avoid these kinds of problems is to have an experienced lawyer review any contracts and make corrections where necessary before they are finalized and signed. 

Assistance from an experienced business attorney

The Law Office of George R. Fusner is a firm that focuses on helping people run their businesses in the Nashville area. Anyone who needs advice from a local lawyer can contact the firm and schedule a meeting. 

Firm contact info:

The Law Office of George R. Fusner

7104 Peach Court, Brentwood TN 37027

615-251-0005

gfusnerlaw.com

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

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