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Tips For Avoiding Contract Disputes

 

Contract disputes can be expensive and time-consuming. However, there are easy ways to reduce the risk of being involved in them. These include:

Put agreements in writing. The law allows both oral and written contracts (though certain contracts must be written to be enforceable). However, oral contracts are more risky, because there is no clear evidence of the terms or that they were even made. A safer approach is to put all agreements in writing. If nothing else, prepare your own memo of what was agreed and keep it.

Read and understand every contract before signing it. Most people know this rule, but because of time constraints, or for other reasons, many do not follow it. Unless there is a legal basis for canceling a contract (such as fraud or misrepresentation), a court usually will not change a contract, even if it has many one-sided provisions in small print. When you read a contract, if you are unsure about anything, seek legal help. This can avoid problems later.


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