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
- 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
- Late fees
Limitations on liability
Venue of lawsuits involving the contract
Statement that contract constitutes entire agreement
Severability of individual provisions
Signatures of authorized signatories
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.