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Simple Ways to Avoid Contract Disputes

Simple Ways to Avoid Contract Disputes

While contracts are decided to hold various parties accountable to fulfill a specific service, disagreements and misunderstandings can still arise. Contract disputes can generally be avoided if you devote time and money in agreement negotiation and drafting.

The following are easy guidelines to avoid contract disputes:

  • Ensure what is written in the contract adequately reflects the transaction which was negotiated. You may think this is as simple as it gets; however, we’ve encountered many where parties rush into contracts and miss obvious errors. It’s imperative to modify the document to include the specific points of the deal.
  • Ensure deadlines are state precisely and clearly. Performance problems are a common occurrence regarding contract disputes. Establishing clear and concise deadlines and avoiding ambiguous time periods can protect both parties. Not only does it prevent confusion, but it enables the work to be completed on time.
  • Detail the level of quality that is expected and what must be done if the standard isn’t met. The expectations of each party and who will be liable to fix any issues must be accurately stated in the contract.
  • Include an “escape clause.” An escape clause enables a party to mitigate the amount of damages done and avoid litigation by paying a specific fee to the other party if they are unable to perform their duty under the agreement.

For more information about negotiating and drafting contracts in Texas, contact our The Woodlands business attorneys at Dossey & Jones PLLC and schedule your free no obligation consultation today.

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