During the past few weeks I have been assisting a client who unintentionally entered into a contract. This may seem strange but is easy to do if you are not aware of the elements that make a contract binding.
My client was considering purchasing some equipment from a person in the same industry as him. This led to my client making an offer, via text message, to purchase the equipment for a certain price. The seller agreed with the price and then arranged for the equipment to be sent to my client.
My client needed time to obtain finance to pay for the equipment – only problem was that he did not say that the offer was subject to finance. This started a lengthy dispute where my client possessed the equipment however was forced to pay rent to the seller for the equipment until finance was obtained. What should have been a very simple transfer process was then blown out to a formal dispute with both parties obtaining lawyers to resolve it.
This is the danger with making offers without first seeking legal advice and requiring a formal contract to be drafted. It means you can be bound by something you type in a text message in a few seconds, which can cause you months of distress. I am happy to report that we managed to resolve the dispute without going to court and both parties can put the matter behind them. This is a rare outcome when the contract terms are non-existent or vague.
If you are thinking of making an offer and you are not sure if you could be legally bound by it, you should pick up the phone and call us because all it will cost you is your time. If I am able to assist you, I will give you complete peace of mind by providing you with a fixed price to attend to whatever work is required to be undertaken.