What you don’t want to pay for is any routine work, but you are willing to pay for experience. Thus, you shouldn’t use a breach of contract template. Putting a legal template in the hands of a non-lawyer is somewhat akin to giving a ball to someone who never has had any training. He will know how to shoot in the ball, however, the likelihood that you will score, is low.
Common template issue
You run the same risks using any templates. You don’t know who drafted your online template, if your template is legally up to date and which legal implications are attached to the clauses. You might be sued for copyright infringement. You will not know which additional documents you might need.
Breach of contract terms
The goal of the contract is to provide you with legal certainty. With a breach of contract document each party is aware of what will be a breach of contract. If a breach occurs, the procedure to be followed is clearly laid out . If you have used a template for your agreement, vague wording may result in a misunderstanding, subsequent arguments and lost time. Thus, using a template may actually cost you time in the event of a breach.
The template that you are using may not make it clear that a breach of contract notice is required. This is important for both parties because the breach of contract notice initiates a termination-related cure period.
Anticipatory breach of contract
If you use a template, you might not be aware of your option. In case of an anticipatory breach of contract, one party suggests it is not going to carry out its obligations. In this case, you can require an assurance of performance and suspend you own obligations until you get this assurance.
If you use template, you might sue the other party instead of simply not fulfilling your obligations.
Breach of contract notice
The notice lets someone know he has breached the contract.
- Taking into consideration the specifics of your situation
You should explain how obligation are not being fulfilled. Has the other party failed regarding the timing? Did the other party not pay?
The template does not take into consideration your specific situation. Each word will have legal consequences. It’s a risky choice , if you have no clue what the legal implication of your words will be.
- Taking into consideration your wishes
A breach of contract notice is an important step and your contract might require you notify the other party using one.
Do you want to cancel the contract? Or do you prefer the other party hold up its end of the bargain? Using a template, you run the risk of asking for the wrong remedy.
When it comes down to it, getting your contract drafted by a specialist saves you time and money, and is obviously less risky than using a template. Prevention is better than cure!
If you’re unsure about the legal advice that you or your business require, book a call with our legal team. We’ll talk you through your needs and answer the questions you may have on Seed Funding.