Contracts: Before you sign on the dotted line...

For better or worse, whether you're the CEO of a multi-million dollar company or just looking to join a gym, contracts are a part of everyday life. Most contracts, though, are long, multi-page documents, full of "legalese" and "fine print," both literally and figuratively. 

Understanding the terms of a contract is vital. It is the only way for you to know what you or the other side can and cannot do. Yet, despite how important the contract language might be, we find that the answer to the question "Did you read the contract before you signed it?" is more often than not "No." Digging a little deeper, when asked why they did not read the contract, the reason is usually the same: "I tried, but just couldn't understand it so I gave up."

Believe it or not, from their perspective, the lawyer is actually trying to be as clear as possible when drafting a contract, trying to account for every scenario and eventuality that might conceivably occur. The problem is that lawyers, at least when it comes to contracts, do not speak the same language as everyone else. That is why you need to remember that, generally speaking, contracts are written by lawyers for lawyers. 

Just like you wouldn't need a contractor for every home improvement project, you won't need a lawyer to review every contract you come across. However, the more important the project, the more likely you are to hire a professional. The same goes for any contract you are being asked to sign. Having the contract reviewed by a knowledgeable attorney who speaks the "language," has your best interests in mind, and can explain the contract terms along with their impact and effects, can help you feel confident when signing any contract.

Over the years our office has reviewed hundreds of contracts on behalf of clients regarding a wide range of transactions, including:

• Real Estate Contracts (Commercial/Residential Purchase Agreements, Lease/Rental Agreements, Promissory Notes & Deeds of Trust, etc.);

• Business Contracts (Buy/Sell Agreements, Asset Purchase Agreements, Stock Purchase Agreements, Operating Agreements, Shareholder Agreements, Corporate Bylaws, etc.);

• Employment Contracts (Non-Disclosure Agreements, Employment Agreements, etc.);

• Insurance Contracts/Policies.

With these types of contracts, knowing what you are signing before you sign it is the single most important thing you can do to protect your rights and interests. We can help, so call us today.