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Dhairya Parekh replied to the topic Written Agreement v/s Verbal Agreement in the forum Consultants and Legal Basics 8 years, 4 months ago
Advantages of written agreement:
The main advantage to the drawing up of contracts to minimize liabilities is that it reduces the risk that the company issuing the contracts will be sued. By making sure that all parties agree on the terms of a particular agreement and making everyone sign a contract attesting to this, this strategy reduces the chance that one party will have grounds for legal action later on.
In addition to reducing the risk of lawsuits, contracts can also provide clarity to employees and partners in their mission. Contracts often outline exactly what’s expected of each party. In addition to reducing the likelihood that one party will be able to sue the other party later on, these contracts can also help each party remain mindful of exactly what they’ve been contracted to do, thus reducing confusion and increasing focus.
