New Jersey residents may benefit from learning more about the dangers associated with oral contracts. More often than not, people participating in contracts are typically advised to get the terms documented in writing. Many law students are taught that a contract does not exist unless it is recorded in written form. Identifying the purpose or intent of the agreement is one of the first steps towards establishing a contract between separate parties.
After the intent and purpose of the proposition has been stated, drafting the terms of the agreement is the next step in the process. Detailing the obligations of each of the parties participating in the contract may be one of the most critical components of forming the agreement. Any consideration provided for services rendered should also be included in the terms of the contract. Contractual terms should specify the price per unit, the method and time of delivery, and payment stipulations.
Once the purpose has been identified and the terms have been established, the contract should be put in writing. People who fail to finalize their contract in written form may be more likely to end up in court over a dispute. Furthermore, it may be harder to obtain reasonable restitution without a definitive contract. In order for the contract to be legally binding and enforceable, it may need to be signed by all parties involved.
People who need more information about contracts or need guidance on forming a contract may benefit from contacting a lawyer. Legal counsel might be able to examine the terms of the contract to ensure that the document is legally binding and will not result in adverse action in the future. Lawyers may also be able to provide assistance to parties involved in a dispute over breach of contract.
Source: Inc.com, “Don’t Get Stuck With a Jersey Contract“, Matthew Swyers, November 24, 2014