In Minnesota, 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 typically 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 Worthington
There is more to a contract than what is required for it to be valid in Worthington. The specific terms of the contract should all be discussed separately so that the intent of each party is understood by the other. Being forthright about your intentions early on can be helpful, because it allows the terms of the contract to be determined based on clear expectations. Lastly, a clause that determines how to handle a dispute under the contract may be worthwhile to negotiate.
Using a Form Contract
Form contracts can serve as a good starting point for a sound agreement. Attorneys in Worthington, Minnesota often keep past contracts on file, and can add or remove terms based on the situation. They can also reword the specific language of form contracts to make them more 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, using a contract that someone else has written can obligate the parties to a contract term that they do not understand. With either a negotiated contract or a form, an attorney can ensure that the written document matches the intent of each party. Attorneys in Worthington often specialize in Minnesota contract law.