Terms, declarations of intent and other pre-contract documents are often drawn up before a formal agreement. Contracting parties are not obliged to agree on all the terms of a proposed contract before it can be binding. All essential conditions must be agreed upon and the agreement cannot otherwise be uncertain, vague or ambiguous. In the event of a contractual dispute, it is important that both parties communicate clearly in order to try to resolve the issue. You can call on our economic dispute resolution service or seek the assistance of a lawyer to help resolve your dispute. In commercial cases, the courts do not readily accept that a company accepts an agreement that it considers unfair or that it includes inappropriate conditions. The courts will do their best if there is an identifiable and determined intention to satisfy the intentions of the parties. It is always best to agree on all important conditions, if possible, in order to reduce the likelihood of an argument. Some contracts may indicate what should be paid in the event of an infringement. This is often called liquidated damage. Contractual guarantees are less important conditions and are not fundamental to the agreement. They cannot terminate a contract if the guarantees are not fulfilled, but they can claim damages for the losses incurred. If the language used by the parties to reach an agreement is so vague and imprecise that a reliable interpretation of contractual intentions is prevented, it is unlikely that there will be a contract.
Do you know what you need to make a deal? You thought there was a contract, but the agreement was not binding? Did you enter into a binding contract thinking you wanted to reach another agreement? It is that if the parties do begin to work together, the conditions leaders can become a legally binding contract, whether or not that is the intended consequence. Contractual terms are fundamental to the agreement. If the contractual conditions are not met, it is possible to terminate the contract and claim damages.