Legal meaning of the agreements

Even in the modern world of Internet technologies, such a concept as “contractual relations” is used. Agreement is something that obliges one party to do or refrain from acting in a given situation. Agreements are present in our lives always and everywhere. You conclude a contract for the provision of services in a coffee shop when buying coffee; a sales contract in a supermarket, when buying food for a refrigerator, and even when refueling your own car.

One of our clients (a company that develops and supports IT programs for small and medium businesses) faced a situation where his client, when purchasing services, offered a larger amount of money than previously discussed, but at the same time slightly changes the conditions of the agreement. Also, he suggested and insisted on signing the contract as soon as possible. Our client asked us to accompany this transaction and protect the company from undesirable consequences.

This agreement included the following:
1) During the oral discussion of their deal, there was a conversation about the same deadlines for completing the task (3 months for writing the test version code), but in fact the terms of 1 month were indicated in the contract. In case of delay in the provision of the program, penalties are charged for each day of delay.
2) Penalties: The work must be received by the customer within the time limits established by the contract and must comply with the established parameters that were built when discussing the task itself during the meetings. Any, the slightest deviation entails the material responsibility of the performer. The contract does not establish any parameters for the TOR, but only indicates that the customer, at his own discretion, decides whether the program complies with the TOR itself, i.e. there was no clear specifics and the customer reserves a place for manipulation
3) Payment: payment occurs without prepayment, or you need to provide guarantees that the work will be completed on time, in full, etc. After the transfer of the software and the signing of the act of acceptance and transfer, the contractor receives only a part of the promised fee. The rest will be paid after the expiration of the 1 year period, provided that the software does not generate an error and the performer performs additional work that was not previously agreed verbally.
4) Glossary: The contract contained terminology that was understandable only to the customer himself and there was no glossary of key terms. This item is quite important, because it can contain different values for two different lines of business, and this mistake can be costly for one of the counterparties.
5) Contradiction: some provisions of the contract in different sections may have the same meaning, which is quite acceptable, but there are cases when several provisions contradict each other and create conditions for the parties not to fulfill their obligations on time or complicate the contract so much that do not allow it to be done at all. This is what our client faced.

Contractual relationships are one of the most important elements of the work of modern business, and they cannot fully exist without legal support. Sometimes, for economic reasons, hiring a lawyer is not the best way out of the situation, but there is a solution: Our company presents the opportunity to hire a whole team for the position of a lawyer. For a certain rate, you will receive a staff of lawyers who can be involved in checking the counterparty, preparing or proofreading the contract, assisting in negotiating, representing in courts in many countries. By choosing the subscription service option, you buy the time of the whole company, at the price of a full-time lawyer, while you will not have additional costs for vacation pay, sick leave, provision of a workplace, communications and other organizational expenses. In addition, you will not be responsible for an employee, you will not need to submit reports to the tax office, pay wages and make contributions to the Tax Service and the Pension Fund. You relieve yourself of the burden of the employer and at the same time get highly qualified lawyers to solve your business problems directly. This is the modern optimal approach in business.

If you have any questions or want to order a service, please contact White and Partners specialists for detailed advice or an individual calculation of the service by clicking on this link. We can help secure your business and, in some cases, reduce costs.