The law firm of choice for internationally focused companies

+263 242 744 677

admin@tsazim.com

4 Gunhill Avenue,

Harare, Zimbabwe

More Than Words: Contracts Are Instructions For Success – Not A Game Of Gotcha – Above the Law

Jeffery
Kruse
made

an
important
point

in
Olga
Mack’s
recent Above
the
Law interview
that
struck
a
chord
with
me:
contracts
are
too
often
seen

and
drafted

as
communication
for
lawyers
rather
than
as
tools
for
the
business.
He’s
absolutely
right,
but
I’d
take
that
idea
a
step
further.
Contracts
are
not
just
communication;
contracts
are
instructions
for
collaboration.

I
think
of
a
contract
as
a
blueprint,
not
a
warning
label.
It’s
a
guide
for
how
parties
work
together
toward
a
shared
goal.
When
written
well,
a
contract
creates
alignment,
certainty,
and
guardrails

not
confusion,
loopholes,
or
traps.
If
the
contract
only
serves
to
guide
the
lawyers,
it’s
not
doing
its
full
job.


Contracts
As
A
Blueprint 

When
two
businesses
come
together
to
form
a
deal,
they
aren’t
simply
exchanging
goods,
services,
or
money.
They’re
entering
into
a
working
relationship.
The
contract
should
be
the
blueprint
for
how
that
relationship
unfolds

step
by
step,
clearly,
and
predictably.

Business
teams
often
ask
questions
like:

  • Who
    is
    responsible
    for
    what?
  • What
    happens
    if
    something
    changes?
  • When
    do
    payments
    occur,
    and
    under
    what
    conditions?
  • What
    are
    we
    each
    promising
    to
    deliver,
    and
    how
    will
    we
    measure
    success?

If
those
answers
aren’t
obvious
from
reading
the
contract

or
worse,
buried
under
pages
of
dense
legalese

then
the
contract
has
failed.

Contracts
must
speak
clearly
and
plainly
to
those
who
actually
use
them:
the
project
manager
setting
expectations,
the
business
team
implementing
the
terms,
the
finance
team
issuing
an
invoice.
A
contract
is
only
effective
if
it’s
usable,
not
just
enforceable.


Safeguards,
Not
Surprises

In-house
lawyers
should
also
guard
against
the
tendency
to
treat
contracts
as
defensive
weapons.
Protecting
the
business
is
important.
That’s
our
job
as
in-house
lawyers,
but
we
should
also
ask
whether
we
are
drafting
for
clarity
and
fairness
or
are
we
attempting
to
play
“gotcha”
in
the
event
something
goes
wrong?

Well-drafted
contracts
bake
in
safeguards
for
both
sides:

  • Reasonable
    dispute
    resolution
    procedures.
  • Clear
    performance
    benchmarks.
  • Mutually
    acceptable
    exit
    options.
  • Defined
    responsibilities
    and
    shared
    risks.

That’s
not
just
good
lawyering

it’s
good
business.
Contracts
that
are
overly
one-sided
or
riddled
with
traps
may
win
short-term
leverage,
but
they
damage
long-term
trust.
The
strongest
business
relationships
are
built
on
transparency
and
mutual
understanding,
not
exploitation
of
ambiguity.


The
‘SEE’
Test
And
Beyond

Kruse
introduced
the
SEE
framework

Simple,
Easy,
Effective

as
a
filter
for
evaluating
contract
design.
It’s
a
great
starting
point.
But
let’s
build
on
it
with
a
mindset
shift:
what
if
we
treated
our
contracts
more
like
product
instructions?

Imagine
buying
a
piece
of
machinery
with
an
instruction
manual
written
only
for
engineers
and
buried
in
legal
disclaimers.
You
wouldn’t
know
how
to
use
it,
maintain
it,
or
fix
it
when
something
breaks.
That’s
exactly
how
many
business
users
feel
when
they’re
handed
a
contract
they
can’t
understand.

In-house
lawyers
can
fix
this.
We
can:

  • Draft
    with
    user-centered
    design
    principles
    in
    mind.
  • Use
    plain
    language
    that
    maps
    to
    real-world
    behavior.
  • Test
    templates
    with
    business
    stakeholders
    before
    rollout.
  • Organize
    contracts
    so
    key
    responsibilities
    and
    timelines
    are
    impossible
    to
    miss.

In
short,
we
can
write
for
the
people
who
live
the
contract,
not
just
those
who
litigate
it.


Legal’s
Role
As
Interpreter
And
Architect

The
best
in-house
lawyers
aren’t
just
contract
reviewers;
they
are
translators
and
architects.
They
translate
legal
obligations
into
business
behavior,
and
they
help
design  systems
that
prevent
issues
before
they
arise.
To
do
that,
in-house
lawyers
need
to
sit
at
the
negotiating
table
not
just
as
risk
mitigators,
but
as
collaborative
partners.
That
means
listening,
asking
how
the
contract
will
actually
be
used,
and
designing
agreements
that
help

not
hinder

the
deal’s
execution.

It’s
tempting
to
fall
back
on
precedent,
on
what
we’ve
“always
done,”
or
what’s
been
vetted
by
outside
counsel.
Real
innovation
in
contracting
comes
from
understanding
the
business
deeply

and
caring
enough
to
make
the
contract
not
just
legally
solid,
but
operationally
usable.


No
More
Gotcha
Games

The
age
of
“gotcha”
contracts

where
success
is
measured
by
what
the
other
side
failed
to
catch

is
over.
Or
it
should
be.

Let’s
write
contracts
that
make
sense,
that
guide
collaboration,
and
that
reflect
a
shared
commitment
to
the
deal’s
success.
When
we
do,
we
move
from
being
legal
gatekeepers
to
business
enablers.
That’s
not
just
good
for
the
legal
team

it’s
good
for
business.




Lisa
Lang
is
an
accomplished
in-house
lawyer
and
thought
leader
dedicated
to
empowering
fellow
legal
professionals. She
offers
insights
and
resources
tailored
for
in-house
counsel
through
her
website
and
blog,
Why
This,
Not
That™
(
www.lawyerlisalang.com).
Lisa
actively
engages
with
the
legal
community
via
LinkedIn,
sharing
her
expertise
and
fostering
meaningful
connections.
You
can
reach
her
at





[email protected]
,
connect
on
LinkedIn
(
https://www.linkedin.com/in/lawyerlisalang/).