Contract Drafting & Vetting

We execute many contracts in daily life without even realizing it. A contract may subsist in something as basic as an oral contract with your newspaper delivery man to deliver newspaper every morning at your door step and your corresponding obligation to pay him on time, to something as complex as transaction with an MNC.

What is contract?

A contract is a legally binding agreement having an offer, an acceptance of the offer, and a valid legal consideration, which is voluntary, and deliberate, between two or more competent parties. Contracts are usually written but may be spoken or implied, and generally have to do with employment, sale or lease, or tenancy etc.

Do it yourself?

There is a general tendency prevailing among people that contract is simple offer, acceptance and legal consideration. "Do it yourself" using a general template in most of the scenarios may not provide a fair benefit from the contract. Further, while drafting a contract a legal binding agreement is a contract, i.e. it should not be void or voidable, therefore just putting terms without understanding the legal implications may create an agreement but shall not be enforceable in the court of law.

Points to remember before you sign a contract

• understand the deal, offer and promise
• obligations and duties of each party
• remedy in case of breach of promise
• exit clause and effect of exit
• never sign something you don't understand