The Importance of Solid Contracts
By Daniel P. Costello, Esq.
If you are an employer, a business that deals with companies as vendors, if you act as a vendor or service provider to large companies, or maybe all of the the above, then you are likely already aware of the importance of solid contracts. You may have spent a great deal of time honing your contracts to reach a point where you are satisfied with the results. The bad news is that even with all of the time and effort that you have put into your contract writing, there are likely to be weaknesses. A solid contract leaves no room for interpretation. It defines the agreement between two parties to the letter. It covers every important situation that you as an employer, service provider, or vendor that you are likely to find yourself in. How can you ensure that you have a contract that works within Illinois and Federal contract law? Take your contract to a business litigation attorney.
In employment situations, the trouble that most employers have when it comes to creating contracts is simply that they are not aware of the intricacies of contract law. It is easy to make mistakes if you are unaware of the letter of the law. It can be a very positive experience to produce your own contracts. Before you can begin, however, a few considerations need to be made.
When it comes to contracts, one size does not fit all. Within any organization, you will find that there are key employees and non-key employees. Key employees may have access to valuable business information and trade secrets. While they may have earned your trust and may have proven themselves to be a valuable asset to your company, should they decide to leave your company, they become a business liability. For an employee that has access to vital information, it is reasonable and pertinent to protect that information with your contract. Should they decide to leave your company at some stage in the future, your business secrets will have a significant level of protection. We will be able to advise you of both the language that you should use and the clauses that you should include to create a contract that is acceptable under Fair Labor Standards Act under Federal Law and also state contract law.
With non-key personnel, your contract is just as important. Your contract should cover their obligations to your business in language that is easy to follow. In the same way, the contract should explain your own obligations.
We have a great deal of experience at putting together solid contracts. A contract that covers all pitfalls is a great way to avoid misunderstandings between managers and staff. In the event that a well written contract is called into question, the misunderstanding is most likely to be resolved in favor of the employer. A poorly worded contract that is open to interpretation leaves your business vulnerable.
Talking to us is perhaps the simplest and most effective way to ensure that you get the contract that you want.
Daniel P. Costello & Associates LLC has an experienced and effective contract lawyer ready to help you produce the solid business contracts that you require.