Verbal agreements are considered legally binding; however, unless a voice or video recording is available, it is difficult to prove in the court of law. Thus, we see importance of notarized written contracts.
Contracts are voluntary, deliberate, and binding agreements between two or more competent parties. Contracts are usually made for matters concerning employment, sales, tenancy, or partnerships. These are drafted by either a lawyer or a legal assistant and notarized by a authorized notary.
In order to be legal and binding, contracts have to meet a set of criteria. See here for Sample Agreements and read on for more information on contract-writing.
Business Agreement Contract Template
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Sample Contract Agreement
Writing a Contract
When writing a contract, there are many things to be considered. Here are some things to make sure of if you are drafting a contract:
- Start with the basics. Mention who are involved in the contract. Make sure to use full, legal names that appear on valid ID cards.
- Be explicit. Be as detailed as possible. Construction Contractor Agreements, for example, should mention exactly how much construction budget would be and how much would be paid to a contractor.
- Length of Term. Make sure to include how long a contract would be enforceable. In Rental Agreement Contracts, it should be explicitly written how long a tenant may use of the rented space and whether or not the lease is up for renewal.
- Include When a Contract Would Be Terminated. Write what happens in the event that one or more parties breach the terms of the contract and what legal actions the wronged party could take.
- Get the Contract Signed and Dated. On the last page, have all parties affix their signatures and the date the contract was signed. Have the contract notarized as to make the contract certified.
- Make Copies. Make sure each party has a signed and certified copy of the contract.
When Are Contracts Void
Contracts are binding, but in certain circumstances, they can be considered null and void. These circumstances include:
- The contract was illegal from the moment it was made. Contracts are only considered valid if they are in line with the federal and/or state laws from which it was made.
- Even if it was legal, a contract will not be enforceable if it violates a fundamental principle such as fairness. For example, a contract that says one has to pay 50 grand for a house valued at 300 grand is not considered fair and will be declared null and void by the court of law.
- It was entered into while one or more of the parties were legally incapable. If the contract was signed while one of the parties was a minor, coerced into it, mentally incapacitated, or under the influence of drugs or alcohol will make the contract null and void.
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Contracts are sensitive paperwork that should be reviewed and read extensively before being signed. When drafting a contract, make sure you double-check every piece of information written. For more kinds of agreements, check out Sample Subcontractor Agreements.
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