Needless to say, contracts are extremely important in business, as they outline the obligations, expectations and the remedies. Well drafted contracts can reduce the further risk and prevent from encountering ambiguities with regard to contractual terms. Accompanying you in negotiation process with Iranian parties, drafting, amending and finalizing different types of contracts for shaping your business in Iran need experts in various field of industry to be able to make a perfect and compatible form of contracts like EPC, JV, BOT and etc. in the context of business you are willing to enter.
Our qualified legal service providers, with a deep knowledge of drafting and negotiating, provide a comprehensive service in all types of contracts such as franchise, supply, distribution, agency and etc. Moreover, drafting pre-contractual documents needs experience and deep legal knowledge of contract lawyers. We can assist you when drafting letters of intent, memoranda of understanding, preliminary agreements.
You need more information in negotiating, drafting, reviewing, and enforcing the contracts? Feel free to make an appointment and our team can find the best solution for your legal issues.
Tips for Drafting a Contract
Contracts are creatures of the parties’ intentions. When you sign a contract, you will be legally bound by all the terms. If you are running a business, a well drafted and clear cut contract can help you to protect your rights and positions.
According to Article 183 of the Iranian Civil Code, “ A contract is made when one or more persons make a mutual agreement with another one or more persons, on a certain thing, and that agreement is accepted by the latter person”.There are some factors for a contract to be a valid one, such as: intention and mutual consent of both parties to the contract, Legal capacity of the parties, a definite subject-matter and lawful cause of the transaction.
It should be noted that each contract has specific terms based on the subject matter, type, needs and expectation of the parties. However, there are some general key points which should be taken into consideration in contract drafting. One should keep in mind that this area needs extensive experience. So, if you first consult the terms with a lawyer who has a strong track record in contract law and drafting agreements, you can save yourself a lot of time and cost.
Simple helpful tips for contract drafting
- Take the contract negotiation process seriously
First of all, discuss the important clauses, then make the draft or outline and send it to receive the other party’s comments. It can save your time.
- Never use ambiguous terms
Do not make the contract interpretation hard in future! You need to be clear enough when choosing words. In legal context, each and every word and punctuation is important. For instance, wrong choice of words like “and, or, and/or “ can change your life!
- Notice all numbers
Write the numbers in words and numerals. It can reduce the possible risks.
- Define some terms at the beginning of the contract
Article 1 of some contracts define the major terms based on the parties’ intentions. When you choose and define a concise term, the contractual obligations will be identified more clearly.
- Be careful about the governing law and dispute resolution clause
No one is aware of the future. So, think of the best method and mechanism for the resolution of the disputes especially when there is an international contract and the parties reside in different countries.If the parties choose the governing law expressly, no reference to the complex conflict of law rules will be needed.
- Litigation or arbitration?
Last but not least, decide which method best suits your needs.one suits your needs.
Looking for legal advice on contract drafting? We know what you are going through. Libra lawyers are ready to help you.