Whether you are aware of it or not, you enter into legal agreements almost everyday. When you purchase groceries at the market, you enter into a contract of sale. When you ride a taxi, bus or train, you are actually entering into a contract of travel. When you get your hair cut or your laundry made, you are entering into a contract for service. The list goes on and on; there are a numerous mundane things you do almost daily that would involve you entering into a contract. The question is, are you fully aware of what you are getting into? The liabilities you could incur or the rights you have against the other party. (E.g. Market vendor, bus driver, and barber/stylist).
A contract is a binding legal agreement between two parties which gives rise to an obligation to give, to do something or not to something. It is binding in the sense that it maybe enforced through judicial action in the proper court and could give rise to liabilities in case of its breach or non-compliance thereof. The stipulations in a contract may vary but they are always subject to the will or consent of the parties. This simply means that you can’t be obligated to a contract unless you agree to it willingly. The reason behind this is that an essential requisite to a contract is the consent of the parties which must be freely given in order to be binding.
Most major legal contracts are usually one that are written and signed by the parties. The term major contracts means they involve huge matters or substantial rights or interests on property and the like. Therefore, beware when you sign a written agreement or a contract. As mentioned, the stipulations and clauses there in may produce undesirable consequences for you in the future if you are not aware of them. You may incur liabilities which may not want, such as the payment of excessive fines for penalties. Another consequence is you may be deprived of a right. This happens when you are robbed of the right to sue against an entity when you signed a contract which includes a stipulation of waiver to file an action in case of breach on the entity’s part. Being careless in signing legal contracts may divest you of your property. For instance, you sign a contract for a loan, not aware that you agree to have your house foreclosed in case of non-payment or default. Worse still, you might lose your liberty if you end up in prison for violation of a contract.
Hence, before signing legal forms, read the fine print carefully. Take your time if you must. You do not want to end up in a situation where you suffer the consequences of a contract; consequences which you did not anticipate since you failed to meticulously scrutinize its contents.