While it may be tempting to save time, effort and (of course) money by recycling old contracts or relying on generic templates, doing so can expose you to significant risk and potential legal complications.
Here are just 6 reasons why you need to stop that crazy behaviour right now:
Contracts are not one-size-fits-all documents. Each project has unique requirements, scope, and legal considerations. Using old contracts or templates can lead to outdated provisions that do not accurately reflect the current project's needs. At best, outdated terms can be simply confusing. At worst they can lead you unwittingly into disputes with your customer and open you to risk.
Reusing an old contract could mean that your new contract isn’t in line with current laws and regulations. You’ll no doubt be aware that laws and regulations governing technology, data privacy, and intellectual property rights are continually evolving. By relying on outdated contracts you may fail to address critical legal obligations or comply with the latest industry standards. Non-compliance can lead to financial penalties, not to mention reputational damage.
Every project carries its own set of risks (data breaches, project delays, scope creep to name but a few!) so each contract needs to consider those risks and cover you for them. Using old contracts can needlessly expose you to risk and potential disputes.
No two projects are identical, and customers' needs are unique. If you’re reusing old contracts or templates you could be overlooking critical project-specific requirements.
Reusing an old contract can result in inadequate protection of your intellectual property rights or, conversely, you infringing upon the rights of others leading to disputes over ownership, licensing, or usage rights.
Contracts aren’t just legal documents, they can be valuable tools for building strong partnerships and creating value for all parties involved. By merely copying old contracts, you miss the opportunity to negotiate favourable terms, incorporate innovative approaches, or explore mutually beneficial clauses. Each new project is a chance to strengthen relationships, enhance collaboration, and foster long-term success.
There are 2 main reasons you’ve resorted to reusing old contracts in the past. Time and money.
Cloud Contracts 365 renders both reasons moot. Using our contract builder you can create a new, bespoke contract in less time than it will take to search for your crusty old one in your Teams folder.