Anybody who’s ever gotten a job or rented an apartment will know what it feels like to sign a contract. But what is it really all about? How do we differentiate a legal contract from any other kind of document? Well, if that’s what you’re here to learn about then you’re in luck. We got just the thing for you, from the definition of contracts, tips for making your own, and other frequently asked questions. If you like, you can even search our list for your own contract template or standard contract template.
By definition, a contract is either a written or spoken agreement that the involved parties intend to be enforced by the law. These contracts often concern a wide variety of situations and topics, including employment, tenant agreements, sales, and more. For example, those who wish to hire contractors may have to deal with specific contracts related to those professionals. It won’t be unusual for those to be on the lookout for free printable contractor contracts or sample contractors contracts.
As convenient as it may be to download free printable contracts, learning how to draft one from scratch is an invaluable skill. Even those professionals who are willing to write a contract for free would agree with this. Should our free contract templates not appeal to you, then you can always look at the following tips:
Although you cannot refrain from using Jargon in your contract, make sure that all the parties do not get overwhelmed by the terms. It is better to use simple and direct words to avoid ambiguity and confusion between the parties. Also, every detail of the contract must be clearly spelt out. Verbal agreements must also be put into writing to making things clear and for future reference. Amendments of the contract must also be in written form for it to become part of the contract.
Include the correct legal names of the parties involved in the contract to make things clear regarding the responsibility and obligation stated in the contract. If a party of the contract is a corporation, the legal name of the corporation must be stated in the contract and not the names of the person signing the contract on the corporation’s behalf.
Specify the details of the payment such as the payor, payee, due date, and method of payment which can be in the form of cash, checks, cards, or any means agreed by the contracting parties.
You must also put down in writing the agreement of both parties on how to handle disputes, which can be through arbitration, mediation, or court.
The parties must agree on the circumstances that will cause the contract to cease. An example of the agreement on the termination of the contract may be when a party of the contract fails to pay an installment payable on a specific date, the other will gain the right to terminate the contract.
Any contract worth looking at should contain an offer, which pertains to the proposal made by one party to another. It must also have the acceptance of the other party, a subject matter, legal capacity, mutual consent, and legality.
One can expect at least four contract types. There are written contracts, oral contracts, standard form contracts, and period contracts.
One scenario that leads to void contracts is when the cause is contrary to law, morals, good customs, public order, or public policy. Another is when contracts are fictitious. Then you’ve got contracts whose object did not exist at the time of the transaction; contracts whose object is outside the commerce of men; contracts that contemplate an impossible service; and contracts that are expressly prohibited by law.
Contracts can be messy and complicated, but certain situations would be far worse without them. Just ask employers or landlords. Now that you’ve come this far with our article, you’re just about ready to take off and put what you’ve learned here to good use. Will you be downloading one of our templates also or are you going to make your own contract from scratch? Regardless of what you choose, remember to take everything you’ve gained here in mind and act with careful consideration!