The contract is dead

Charles Brecque
·
May 20, 2021
The contract is dead

The contract is dead

Long live the contract

Contracts provide an essential framework for people and corporations to work with each other under negotiated conditions. The negotiation is often the most challenging stage of the relationship because each party will try to protect their own interests.

In doing so they will try to minimise the impact of their potential wrongdoings whilst maximising their entitled damages for the other’s. Attempting to reconcile each party’s interests can delay the process or worse, terminate it.

This is also the most unfair stage of the relationship as the legal resources of each party will impact the final “deal”. A less experienced party might not appreciate if the contract is complete or if a clause is acceptable if they are unable to anticipate their less obvious, but potentially damaging, future implications.

This stage is not helped by the fact that most of the negotiation happens via email and will only get escalated to a call or face to face meeting if bouncing a marked-up word document back and forth is no longer useful.

In the meantime, the parties who agreed to cooperate in the first place are waiting on the side-lines and wondering why it’s taking so long. They might question their original motivations or switch their attention to new pressing priorities.

If parties can warm up to the idea of working together, then the contract should only be a formality as opposed to a blocker. There are techniques for making the process faster, but they are ultimately extracting marginal efficiencies at the edges from a broken system which needs to be replaced.

Legislate's approach doesn’t involve any of the above.

Why don’t you find out for yourself?

Book a demo of Legislate, read one of our tutorials, request access here or receive an invite from an existing member.

The opinions on this page are for general information purposes only, and are not legal advice on which you should rely. Please consult with a lawyer if you want legal advice.

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