“A verbal contract isn’t worth the paper it’s written on” – Sam Goldwyn
We’ve got that saying on the top of our commercial contracts page for a reason. While legally binding, verbal assurances and deals sealed with a handshake can quickly deteriorate into a case of “he said, she said” in the event of disputes. When planning for the future of your business it’s best not to build on shaky foundations even though establishing a commercial contract may prove to be a complicated exercise.
Furthermore, it is imperative to formulate a contract that is specific to your business, making provision for future growth and developments so as to avoid future disputes.
But why not grab a generic contract from the internet?
Negotiation and drafting a contract are part of the process. Commercial contract lawyers will have to spend time getting to know your business and how best to establish a contract that is fair to both parties involved. Risk should be allocated equitably between each party and the ability of each party to control against the risk allocated against it requires an in-depth understanding of the client’s insurance policy. This will then determine if the party can, in fact, carry the risk allocated to it. Without this, the contract is flawed.
Not only is it important to know what is present on the contract, but also what is not. Commercial contract attorneys with many years of experience will be able to see what is missing or vague and make corrections so that the final draft of the contract fully addresses the requirements of both parties. Someone inexperienced in the drafting of contracts may very easily overlook a great number of points which were simply not present in the first place and will not be able to properly elaborate on sections that may be of great importance in their specific situation.
Drafting the right contract for your business from the onset will be one of the best moves you can make. The investment in hiring qualified commercial contract lawyers will prove to be a worthwhile oneas your business grows and you find that all of your bases have been covered.
Van Zyl Ebrahim Cook Attorneys Incorporated is a law firm based in Johannesburg, South Africa. We work with clients based locally and internationally and have extensive experience with South African commercial contract law, especially as it is one of our core practices. Should you be based abroad and have business interests in South Africa, we’ll gladly draw on our expertise to draft the right contract for you so that you can proceed with the utmost confidence.