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How can I prevent contract disputes from occurring?

If you’re a business owner in California, the prospect of contract disputes can be daunting. Binding agreements are an essential part of doing business no matter the type of goods or services you provide, and avoiding disputes can save both time and money (while also ensuring your business is able to thrive). Inc.com offers the following advice in this case, which will ensure any agreements you enter into are valid and legally binding.

Perform Due Diligence

While it may seem ridiculous, some people will misrepresent themselves when signing a contract. This will render the contract invalid, which could result in you losing a significant amount of money or even jeopardizing your business. Due diligence is key in this case, as the investigation will allow you to verify that the signee is who they say they are.

Have Clear Information on Costs

Money is a major source of contract disputes. Providing clear information on costs is one way to combat this, as there will be less risk of other the party finding fault with the requested expense. Creating a budget should be the first step to determining costs; make sure you include any variables such as few charges or other overlooked expenses.

Get the Contract Notarized

Having a contract notarized will serve two distinct purposes. First, the person signing the contract is far more likely to read the document if it’s been notarized. Additionally, the person will be unable to claim that he or she didn’t actually sign the document (since an ID must be presented upon signing). That way you can rest assured that your agreement is enforceable, which will be crucial in the event you end up in court.

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