Agreements and Contracts: When Are They Legal?

Answer 1

An agreement between two or more parties can indicate a legal contract. However, in order for that contract to be legally and lawfully binding, it must be signed by all individuals to whom the agreement applies. Within the language of the document should also be the specific terms to which the parties are agreeing in addition to the consequences or penalties that are due in the event that the contract is breached. While an oral agreement can also be considered legally-binding, it is typically difficult to prove it in court with a lack of evidence.

To make a contract legal, the first step is to have all parties sign the contract at the very bottom of the document, along with adding the date that the contract was executed. If there are any witnesses, they may also sign it. It is also recommended to have a notary public sign the document to prove that the intended parties are using their own signatures. Though not having a witness or a notary sign the document does not necessarily affect the contract's validity, if a party challenges the authenticity in a court of law, it can influence the case's outcome.

With the exception of the final page where the parties sign the contract, all other pages of the contract should also have initials to confirm all of the terms are being agreed upon. Additionally, all parties should place their initials under any changes that have been made to the original text. For example, if a paragraph has been crossed-out to show it is exempt from the agreement, all parties must initial near this paragraph.

The contract title should be clearly stated on the front and specifies the purpose for the legal contract for clarification purposes. It also makes it easier to reference the document should it be involved in a court case. For example, if there is an agreement for one person to photograph a wedding, the agreement may be called "Wedding Photography Contract" or similar. Additionally, the first page should clearly state the full names of all involved parties who are signing the agreement.

Finally, the document should also feature the effective and termination dates as well as any reasons why the document may be canceled prior to this date. It is very important to document all of this information in case of any breaches in contract -- and this document can also include which court jurisdiction will handle the disputes and which party must pay the attorney fees.