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Contract Terms Checklist

Although all contracts are different, there are certain contract terms that are commonly included in business contracts. Not all of these provisions will be included in every contract, and most contracts will include additional provisions that relate specifically to their particular subject matter. The following checklist serves as a general guide to what provisions may be important to include, or at least consider, in the business contracts that you enter into.

    Identity of the parties

  • Individuals or business entities?
  • If businesses, what type? (partnership, corporation, etc.)
  • Name of person signing on behalf of the business
  • Signer's official title
  • Does he or she have authority to bind the business?

    Addresses of the parties

    Purpose(s) of the contract

    Underlying assumptions

    Contract terms

  • In general
  • Duties of each party
  • Rights of each party
  • Relevant dates
  • Relevant prices or other dollar amounts
  • Relevant quantities
  • Payment terms
  • Lump sum, COD, installments?
  • Payment due dates
  • Taxes
  • Interest
  • Late fees

    Warranties

    Disclaimers

    Limitations on liability

    Liquidated damages

    Confidentiality provision

    Indemnification agreement

    Default

    Arbitration clause

    Governing law

    Venue of lawsuits involving the contract

    Statement that contract constitutes entire agreement

    Severability of individual provisions

    Signatures of authorized signatories

    Notarization

Have an Attorney Help You with a Contract

While it's important that you understand the terms and conditions included in any contract you draft or sign onto, sometimes it takes the expertise of a legal professional to interpret contractual language into plain English. A misused or misspelled word, for example, has the potential to entirely change the meaning of a contract. If you are unsure about what you're signing or need help drafting a contract for your business, consult with a business and commercial law attorney near you.

Check FindLaw's Contract Law and Drafting Contracts sections for additional articles and resources.

Next Steps
Contact a qualified business attorney to help you
negotiate and craft airtight contracts.
(e.g., Chicago, IL or 60611)

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