“Why Contracts Are Really Your Best Friend”

Why Contracts Are Really Your Best Friend – "My work is being reused…by someone that I no longer consider a friend." http://t.co/iR5Qw95

— Shawn King (@ShawnKing) August 14, 2010

From Twitter User Melissa Findley (@Mercuralis) https://twitter.com/Mercuralis

I discovered this Tweet back in 2010 and it says exactly what I am telling people on a regular basis:  business relationships need to be documented with written agreements, even if (some would say particularly if) the relationship if with a friend or family.  I am frequently told that requiring something in writing is “to formal” or “not necessary”.  People I encounter regularly feel that asking for something in writing is a sign of distrust.

Why is it distrustful to take an action that protects both parties to the relationship and could prevent a protracted legal dispute?  That is precisely what creating a properly drafted written agreement provides:

1. It spells out the terms of the relationship removing confusion and doubt;
2. It defines and clarifies each parties’ ownership of and rights to use the work in the future;
3. It promotes discussion and negotiation of terms while the parties are on good terms;
4. It adds credibility to the relationship because each party was willing to “put it in writing”;
5. It provides a reference to clarify disputes when issues arise.

If you have any questions about these items or want to discuss anything about contracts, please email me or call me.