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PITFALL: No contracts or insufficient contracts

This can be one of the costliest mistakes in operating a business. The list of potential problems is too long to share in this format, but agreements, even between trusted friends, can go very badly over time especially with the influence of third parties. Even though attorneys use templates to create contracts for a given situation, these templates merely form the basis for each client’s needs. It is NEVER a good idea to use a contract found online, because it may be outdated, pertain to the laws of another state, and can easily exclude clauses that would be essential to an agreement, or to get an unwanted result if the contract ever had to be interpreted. For instance, arbitration may not be the best alternative in a particular situation, or an attorney’s fees clause could be inadvertently omitted. Scheufler Law has seen many very costly mistakes made because people had no contract or a contract that was not drafted by a professional for a particular situation.

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