Contract Creation

Contract Creation and Management

Richele Pate

University of Phoenix

Business Law

LAW/531

December 05, 2011

Richard Alexander Esq.

Contract Creation and Management

Based exclusively on practicality and sensibleness, in 2000-2002, the United States court system delivered 30 influential rulings on contract-related disputes. Contract law is dependent upon court interpretation and is in a stage of evolution. Clarity and conciseness of design and function is vital to a successful contract. The Contract Creation and Management simulation reviews potential legal issues between Citizen-Shwarz AG (C-S) due to shrouded ambiguity in a contract. Potential changes and the outcome of such changes are also viewed in the simulation. The importance of reviewing existing and new business contracts is revealed by the simulation, for successful partnerships.

Legal Issues

Several legal issues are shown in the Contract Creation and Management simulation. An ambiguous contract opens the chance for misunderstandings and can allow conflicts to arise stemming from these misunderstandings. Specifications, in the six million dollar contract, concerning what would happen in the event of increased staff needing to be trained was not included and has left C-S disappointed in Span Systems. Lack of timely completion of deliverables and quality of the e-CRM software were major issues. Span claims that an increase in end-user requirements has delayed the completion. The release of intellectual property by C-S is an issue with Span Systems, however as a rumor. Creating a breach of contract, C-S is in negotiations for the same contract with another company.

Formation of Contract

Terminology and precision are vital to withstand misinterpretation when negotiating contracts. Several choices are available, of the three phases of the simulation, to negotiate. The choices will either...