Good contract lawyers tout herald clarity as their number one priority.
Today let's see how to remove unnecessary uncertainty from starting provisions.
When I see the start date of a contract relative to its signature I always wonder.
Why on earth?
Just pick a date to remove all potential confusion.
By tying a contract's effective date to that of its signature, lawyers create unnecessary blur.
You can't know for sure when a contract will be signed because you're not controlling the signatories.
You can't even be sure that a contract will EVER be signed by both signatories.
The effective date determines the term of an agreement, triggers non renewal notices or kicks off non compete obligations. It's a critical element that should be clear for all parties involved.
So don't let uncertainty as to when the contract starts seep into your contract. Spell the full date out.
Don't compound uncertainty with conditionality 🤯
Let's look at this comparison.
The agreement enters into force either at the earliest of:
Again, don't let uncertainty seep in.
Pin a date, call it "Effective Date" and map all relevant provisions (duration, prior notices, renewals, surviving provisions) accordingly.
That's all for today. I hope you found this piece on starting provisions insightful.
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Over and out — Adrien
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