When parties to an agreement intend it to have legal effect, that agreement is called a contract. In New Jersey, contracts might be oral or written, as long as both parties have the same understanding of the terms of the agreement. A written contract is typically preferred by most businesses, because that make the agreements more reliable. Contracts may involve legal principles, so they are best formed with a clear understanding of the law.
Negotiating a Contract in Bound Brook
Along with specific clauses that should be included in every Bound Brook contract for it to be valid, it is important to adequately discuss each term to make sure that the intent of each party is understood by the other. Being upfront about your intentions can help the contract goal of mutual understanding of expectations. To conclude negotiations, you may want to include a clause that determines what is to be done if a party fails to meet its duty.
Using a Form Contract
Form contracts can serve as a good starting point for a sound agreement. Lawyers in Bound Brook, New Jersey 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. There are risks in using form contracts without the advice of an attorney. First, a party using a form contract may not have completely 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 clause 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. Lawyers in Bound Brook often specialize in New Jersey contract law.