In Michigan, when two parties come to a mutually understood agreement that they intend to have legal force, a contract is formed. There are both written and oral contracts, since all that is required is that the parties agree and understand each other. In business transactions, written contracts are usually preferred for their reliability. These documents are best drafted by those who understand the law, because the very reason for a contract is to legally obligate the parties.
Negotiating a Contract in Ludington
Negotiating the specific terms of a contract is crucial. There are several terms that should be included in every Ludington contract to ensure that the agreement protects the interests of the parties. The terms of the contract may be determined based on clear expectations if both parties are forthright about their intentions early on. Also, parties may want to discuss whether they need a provision for resolving any disputes under the contract.
Using a Form Contract
If an agreement needs a good starting point, you may want to consider a form contract. An attorney in Ludington,Michigan can add or remove clauses according to the intent of the parties, and even the specific language can be made more comprehensible so that expectations are clear. However, form contracts can pose problems if they need to be interpreted by courts, especially if they are used without the assistance of an attorney. First, a party using a form contract may not have thoroughly read all the terms, and can thereby remain unaware of his performance obligations and liabilities if events do not go as planned. Second, form contracts will often contain language that is difficult to understand outside the legal community. This can cause disagreement over the meaning of a term. With either a negotiated contract or a form, an attorney can ensure that the written document matches the intent of each party. Attorneys in Ludington often specialize in Michigan contract law.