Don’t want the baby thrown out with the bathwater? Use a “severability” or a “partial invalidity” clause to prevent a court from declaring an entire contract invalid or unenforceable just because a single provision in the contract is declared invalid or unenforceable.
Any document you draft—from an email to a settlement agreement—should be written in plain, understandable language. But many attorneys still fall into the trap of using stilted, legalistic language, particularly in contracts and other transactional documents. Compare the following purchase agreement recitals and see what a difference plain English makes.
How can you streamline your contract drafting time and create a better document? Prepare. For all types of transactions, the time spent organizing and guiding the drafting and closing process will save actual drafting time and will help produce more accurate, understandable, effective, and comprehensive documents. Follow these ten steps for success in any business transaction.
The key to keeping contracts out of the courtroom is drafting them well and making sure that they accurately capture the parties’ intent. In Part 1 of this post, we discussed five common contract drafting mistakes and how to avoid them. Here are five more.
When drafting a contract, it’s often necessary and useful to use cross-references to another part of the contract or a related document. This cuts down on redundancy and helps with consistency. But imprecise or problematic cross-references can make a mess of things. Here are some tips for handling internal and external cross-references.
When drafting a contract, make sure to give attention to the defined terms portion. Defined terms are important because they allow the use of short-form references for names, terms, and concepts that are frequently repeated in an agreement, thus saving space, improving readability, and assuring consistency. They also encourage the drafter to be precise in stating important concepts and procedures. Use these four tips next time you draft a contract.
Deciding which form to use for your agreement will depend on several factors, including who the parties are, what they want to accomplish, their level of sophistication, and the amount of time and money they’re realistically willing to invest in the transaction. Here are five types of agreements to consider for your next client.