Pick up a newspaper any day of the week and you'll see stories about companies and organisations who've failed to follow a few simple rules of business, when it comes to making and keeping contracts. Most recently you may have read about the Football League's battle with Carlton over an agreement they (the football league) thought had been made, when in fact the element they were referring to had not been made part of the final contract - the result a multi million pound loss for the football league, clubs likely to fold and for the viewer, less opportunity to see live matches on TV.

Here, Woolley & Co provide a step-by- step guide to contracts - follow it and you should avoid losing out.

• Read them!
• Take advice - and do so early in the process - it's false economy to avoid calling in the lawyers until things have gone wrong.
• Use a standard template or form of contract that you provide and therefore know well.
• Consider whether the person or organisation you're dealing with has enough money to cover any problems? If not, get guarantees (from the directors or parent company) - but in writing.
• Make a list of all the points you need to be covered, and check they are.
• Make a note on all the papers before the formal contract "Subject to contract - this is not intended to be a contract document" - put it at the top in large print so you don't miss the point later.
• When you do sign a formal contract, check it has wording saying it is the whole agreement between you or that it supersedes all previous agreements.

And if things do go wrong, ask your advisers to try at least some form of negotiation/mediation before rushing to Court. Many businesses will see the sense of a negotiated compromise, BUT get that in writing too as it is another contract.

Woolley & Co specialise in small business law and contracts using plain English aligned with commercial common sense - we understand that the cost of legal advice has to be aligned with the value of the agreement to the business. We can:

• Give a low fixed fee view on contracts you are considering.
• Provide existing and/or registered clients with FREE initial advice on negotiations, small print, when is a contract made? And other useful tips.
• Provide a template contract that you can re-use in many situations.
• Cheaply review your present terms and conditions at an agreed fixed fee (and we can deal with your on-line small print, too).
• Give you FREE initial advice on any problem you have with a contract.

Contact us on andrew.woolley@business-lawfirm.co.uk or call 01789 267377