How to Draft a Contract With Your Choice of Text

Entering into a contract is a voluntary action on the part of all parties involved.

A contract is a legally binding agreement between two or more parties. These parties can be individuals, organizations or businesses. Contracts can be written for a variety of purposes including employment agreements, lease agreements, the sale of property, or for an agreement of service such as lawn care. Your contract will include your choice of format and text; however, there are facts that have to be included in contracts, no matter what the purpose of the contract is.

Instructions

1. Name all parties involved in the contract.

2. State the monetary amount involved in the contract. For example, if the contract is for the purchase of a house, the sale price of the house must be included in the contract. Also note if the monetary amount is being paid in one lump sum or in installments. If it is being paid in installments, include how many installments and the monetary value of each installment.

3. Date the contract. Include the date that you drafted the contract and if the contract is valid for a certain term. For example, if the contract you are drafting is for lawn-care services, then add the length of time the lawn-care services will be provided for.

4. Include what each party is responsible for. For example, a lease contract will detail what the landlord is responsible for in terms of utilities and maintenance and what the individual leasing the space is responsible for, including rent, utilities and property maintenance.

5. Include spaces at the end of the contract for each party to sign and date the contract. Without these signatures as recognition that both parties have read and agreed to the contract terms, the contract is not valid.

References

• Business Dictionary: Contract