A contract is a legally-binding agreement that is the result of mutual assent. Both parties to the agreement have to intend to be bound by it. They are often the result of an offer, an acceptance of the offer, and the agreement that each party give up something in order to receive something else, also known as consideration.
The specific terms in a contract, though, can raise very important legal issues, as can the circumstances in which it was signed. Disputes frequently arise when one party wants to modify the agreement or has broken the contract.
The contract and business lawyers at the Katz Law Group can help. Contact them online or call them at (508) 480-8202 if your business is having a contract dispute in Worcester, Marlborough, Framingham, Norfolk or Middlesex Counties, the MetroWest area, or the rest of Massachusetts.
Common Contract Issues
While nearly every agreement is different in some way, there are only a handful of legal issues that crop up, again and again. Some of these include:
- Whether an offer was even made
- The enforceability of an oral or a verbal contract
- Whether a valid offer was accepted
- Agreements that have no consideration or could be considered a gift
- Modifying currently existing contracts
- Assigning contractual rights or obligations to someone else
- Special requirements for certain contracts, like the Statute of Frauds
Contracts in Other Fields of Law or Special Circumstances
Contract disputes also occur in some other segments of the law, raising new and unique legal issues. For example, there are:
- Employment contracts
- Commercial real estate leases
- Contracts for business credit
- Consulting agreements
- Franchise agreements
Contracts also occur in particular situations, like:
- During a vendor dispute
- When a business is closing
- Whenever a small business is involved
- When there are international business components to the agreement
- An executive contract between a business and a high-level employee
Special Clauses in Contracts
There are also some common contract provisions that can be inserted into a contract that raise very specific legal issues. Sometimes, these are standalone contracts, rather than a part of a broader agreement. Particularly complex or legally problematic contractual clauses include:
- Force majeure clauses
- Non-complete clauses, including garden leave provisions
- Indemnity agreements
- Arbitration agreements
- Non-solicitation agreements
- Non-disclosure agreements or confidentiality clauses
- Choice of law provisions
- Severance and separation agreements
Breach of Contract
Contracts are rarely disputed unless someone has broken the agreement or is threatening to break it. When the agreement is broken, it is called a breach of contract and can lead to remedies for the non-breaching party, like:
- Compensatory damages
- Liquidated damages
- Punitive or exemplary damages
- Specific performance
The party accused of breaching the contract has several defenses, though, like:
- It was impossible to perform the agreement
- It was impractical to perform the agreement
- There was no binding contract
- They were coerced into agreement
- The agreement was a mistake and they had no intent to be bound by it
Some of these defenses can void the contract.
