Contracts

- TA THAI LAW FIRM -

When it comes to drafting and reviewing contracts, it is essential to ensure that all parties involved are on the same page and that the terms and conditions are clear and legally binding. Some contracts such as freehold or leasehold on Thai real estates require legal due diligence and careful contract drafting/reviewing to ensure the validity of the contract. Not sure whether your contract is enforceable, consult us now.
Drafting a good contract is essential to ensure clarity, protection of rights, and the prevention of potential disputes. Here are key elements to include when drafting a solid contract:

Clear and Precise Language

Use clear and straightforward language to convey the terms and conditions of the agreement. Avoid overly technical or convoluted language that may lead to misunderstandings.

Identifying Parties

Clearly identify and name all parties involved in the contract. Include their legal names, addresses, and contact information.

Definitions

Define any specific terms or phrases used in the contract to avoid ambiguity. Create a section for definitions or provide clarifications within the document.

Scope of Agreement

Explicitly outline the purpose and scope of the agreement. Describe the goods, services, or obligations to be provided by each party.

Terms and Conditions

Specify all terms and conditions that govern the agreement, including responsibilities, obligations, and timelines. Address payment terms, delivery schedules, and performance expectations.

Price and Payment Terms

Clearly state the price, payment method, and any applicable taxes or fees. Include details on payment schedules, interest rates for late payments, and consequences for non-payment.

Performance and Deliverables

Define the expected performance standards and deliverables for each party. Include benchmarks, milestones, and quality assurance measures.

Deadlines and Timelines

Set clear deadlines for key milestones, deliveries, or completion of tasks. Include provisions for extensions and penalties for delays.

Dispute Resolution

Outline the process for resolving disputes, such as mediation, arbitration, or litigation. Specify the applicable jurisdiction and choice of law.

Termination and Breach

Detail the conditions under which the contract can be terminated by either party. Specify the consequences of a breach, including remedies and penalties.

Confidentiality and Non-Disclosure

If applicable, include clauses addressing the protection of confidential information and intellectual property rights.

Insurance and Indemnity

Specify insurance requirements and indemnification obligations to protect against potential liabilities.

Governing Law and Jurisdiction

Indicate the governing law that will apply to the contract and the jurisdiction where disputes will be resolved.

Signatures and Execution

Include a section for parties to sign and date the contract. Ensure that all signatories have the authority to enter into the agreement.

Amendments and Modifications

Detail the procedure for making changes or amendments to the contract. Specify that any modifications must be in writing and signed by all parties.

Entire Agreement

Include a clause stating that the contract represents the entire agreement between the parties, superseding any prior oral or written agreements.

Severability

Insert a severability clause to ensure that if any part of the contract is found to be unenforceable, the rest of the agreement remains in effect.

Notice

Specify how and where official notices and communications should be sent.

Record Keeping

Determine record-keeping and documentation requirements, including how long the parties should retain copies of the contract.

Consider seeking legal counsel to review and finalize the contract to ensure compliance with applicable laws and regulations.
Drafting a good contract requires careful attention to detail and a comprehensive understanding of the parties’ intentions and legal requirements. It is advisable to involve legal professionals when drafting complex or high-stakes contracts to ensure their enforceability and protection of all parties involved.