Business to business contracts
Before you sign a contract you should:
- be sure you really want and know what you are signing for. If in doubt, take time to consider the contract carefully
- read every word – including the fine print
- seek legal advice if you don’t understand the contract
- not be pressured into signing anything
- if necessary, take the contract home overnight and read it through
- never sign a contract that contains blank spaces
- make sure you and the seller/buyer initial any changes you may make to the contract
- always get a copy of any contract you sign.
Once you’ve signed a contract you really can’t change your mind – you are locked in. If you still wish to pull out of the contract before it is finished, you may end up paying a penalty (sometimes the full amount of the contract) or you may be taken to court by the other party to compensate their loss.
Some contracts may allow you to ‘opt out’ or terminate your contract early, with or without a penalty. If you wish to have an opting-out clause in the contract, you should seek independent legal advice to make sure you are properly covered.