Contract Law 101
Contracts are binding agreements that create legal obligations between the parties involved. While there are various forms and types of contracts, you can typically count on four basic elements in all types of contract law:
An offer. One party makes a deal that contains specific terms.
Acceptance. The other party accepts that offer with or without negotiation.
Consideration. Each party "gives" something else in exchange for the other benefits – this could be money or any other item of value in the eyes of the other party.
Capacity. All parties involved are able to enter the contract having the legal capacity to do so.
These elements are present in each and every contract , regardless of the legal areas involved—property law, corporate law, employment law, etc. This is why it’s so important to know the fundamentals of contract law. From a basic contract, you can end up being involved in real estate transactions, business sales, fleet management contracts and more. Plus, it’s important to be able to recognize when a contract is binding and when it’s not.
Why You Should Hire a Contract Attorney in Denver
When it comes to legal matters, having a local advocate on your side is essential. For Denver businesses, that means consulting with a specialized Denver contract lawyer who knows the local legal landscape inside and out. Why is this necessary? Well, for starters, the Colorado State Business Contracts Law outlines expectations and regulations for parties that make an agreement in the course of doing business. If either party in a contract fails to hold up their end, legal enforcement may be needed to reclaim losses or damages.
Naturally, there are various nuances to the law. These can be a little complicated, especially for the average layman. Additionally, these local contract law implications often vary from state to state. As such, having a specialized Denver contract lawyer to guide you in local contract law and requirements is a considerable advantage. Otherwise, you can spend hours trying to research Colorado business contract law and still be left with questions.
For example, some contracts require certain terms to be applied in order to even be considered enforceable, such as mutual understanding and competence of each party. Contract enforceability varies according to various factors such as the type of contract in question, its purpose, conditions of enforceability, enforcement capacity and damages or breach of contract claims. A specialized Denver contract lawyer is best able to navigate the local civil contract law so that you are compliant with all state-specific business contract requirements.
What Services Do Denver Contract Attorneys Provide?
Given the inherent complexities of legal contracts, it is often best to consult an experienced Denver contract lawyer in order to draft one from the ground up and ensure that it meets the interests of both parties. While all sample contracts include fairly standard boilerplate language, such agreements vary widely in how their terms and conditions are phrased and where legal obligations are concerned, every word can matter. By working with a contract lawyer to draft a contract, both parties will have the benefit of expert advice in order to put each individual’s interests front and center. If the other side is also dealing directly with a Denver contract attorney to draft the agreement, a collaboratively constructed document will be less likely to lead to disputes or lawsuit down the road.
Sometimes, it is necessary to change the terms of an existing contractual relationship, and an attorney can help with this as well. Note that an oral contract may be hard to prove, which is why it is easiest to end a contractual relationship with help from a lawyer if it is clearly documented with a formal writing.
Before a final contract is agreed upon by both parties, they—ideally—will engage in a round or rounds of negotiation with one another to account for any changes or requests. A contract lawyer can provide counsel for either person, who can represent their respective side in those discussions, but whichever party gets the attorney first may benefit from the strongest working relationship. The attorneys can often consult on both sides and negotiate terms in tandem to avoid confrontational situations, allowing both parties to walk away satisfied with the outcome.
How to Choose a Competent Contract Attorney
When searching for a qualified contract lawyer in Denver, there are several factors that can be used to determine whether the individual you’re considering is a good fit for your legal needs. Experts suggest evaluating the contract attorney’s experience, specializations, reviews and ratings from clients and any relevant associations or certifications.
Experience is key. The right Denver contract attorney will have accumulated a wealth of legal knowledge and experience through years of practice in the specific area of contract law where you need support. An attorney who has been practicing for decades may have a much more hands-on approach than a newer attorney who’s been practicing for a year. Ultimately, you need to choose an attorney whose experience and style match the needs and expectations of your business.
Specialization is also important. Contract law is a broad field that encompasses everything from simple contracts to large M&A deals. You’ll want to choose an attorney whose practice concentrates on the area of the law you need assistance with, whether that’s contract drafting, negotiations, litigation or something else.
Asking former clients about their experiences with a given attorney can provide valuable insight into what the attorney will be like if you choose to work with him or her. In particular, pay attention to reviews that mention responsiveness and communication, as well as any reviews that mention the attorney’s style when it comes to contract negotiations, if that’s a primary focus of your business. When reading reviews, keep in mind that you’ll never find a lawyer or law firm that’s right for everyone.
Check to see if the attorney is a member of any professional organizations, since this may point to the level of commitment that the attorney has to his or her field of practice. Professional memberships also point to an attorney who is committed to learning more about their field of practice.
Most importantly, make sure that the lawyer you choose is someone who you’re comfortable with. You’ll be forming a long-term relationship with your attorney and will likely need to consult them frequently about your business dealings. The right attorney for your business is someone you can trust to be there and respond to your needs.
Your Initial Consultation with a Contract Attorney in Denver
Your initial meeting is often the best time to determine whether the attorney you are considering is right for you. This meeting should give you a good idea of what it would be like to work with your Denver contract lawyer and whether they have the skills necessary to help you resolve your legal issue. Your initial consultation may take place virtually or over the phone.
Most law offices do not charge for initial consultations. If your potential attorney does charge, they will notify you up front. During the initial consultation, you may ask general questions about their background and experience as well as specific questions about your case. For example, you can describe the situation you are facing and ask whether your Denver contract lawyer has handled similar cases in the past. You may also ask how your case would be managed depending on the communication style you prefer.
For transactional matters , many attorneys will meet with their clients several times unless a single contract is all that is needed. Limitations on all parties’ schedules mean that just one initial meeting is generally not enough to cover all aspects of a complicated contract or associated negotiations. For litigated matters, some lawyers will simply sit with their potential clients during the initial meeting and go over the facts of the case, while others will advise clients to bring documentation and their interrogatory answers. Although it is somewhat uncommon, an attorney may ask you to send them the necessary documentation in advance for review, so they have time to prepare written questions in advance.
The Cost of Hiring a Contract Attorney
Cost considerations are an ever-present reality when engaging a contract lawyer in Denver. Particularly for small business owners and individuals, understanding the potential costs is vital to making the correct decision the right decision.
There are a number of different fee structures in the legal industry, but the most common is generally the hourly rate. When you hire a contract lawyer on an hourly fee basis, you are essentially paying them to be available for questions and issues as they arise. In this way, your Denver contract lawyer is available whenever your need is pressing; but those costs can continue to pile up as time is spent discussing various topics. Hourly fees are sometimes beneficial, but can also lead to budgetary concerns.
Some lawyers will propose a flat fee instead. A flat fee arrangement means that you pay one fixed amount for your entire contract law-based issue. Flat fees can be put to use when a project you have is predictable in scope. This will be determined by both you and your lawyer, so discuss different payment arrangements at the very beginning of your issue with your contract attorney.
Retainer fees are another area in which lawyers operate. Retainer arrangements generally involve the payment of a retainer fee. This is an upfront cost that acts as a reserve against the cost of your legal issue as a whole. Some lawyers in Denver operate on retainers, some do not.
Billing is key, and hourly rates may be billed differently even from lawyer to lawyer. Some Denver contract lawyers will bill in full hour blocks, so one hour of work will be billed at 1 hour regardless of whether or not the issue being discussed took up a full hour of time. Other attorneys will bill in 15-minute increments, for example, which allows for the most granular and efficient billing.
This use of blocks of time can result in the cost of your legal issue becoming burdensome. For this reason, it is best to try to request flat fee arrangements whenever possible, or the closest approximation of a flat fee you can get. The closer you can get to a flat fee, the better off you will be in terms of knowing the costs going forward.
Contract Law FAQs in Denver
How do I know if I need a contract lawyer for my case?
Many people consider hiring a contract lawyer if they have a contract dispute, though you may find it useful to consult with a contract lawyer during contract formation. Especially in today’s world of highly complex contracts and electronic agreements, people may not fully understand the terms and conditions of the contracts they sign. If you have any questions about what you are signing and what you are agreeing to, you should consult with a contract lawyer before you sign. When you have a contract dispute, a contract lawyer will be able to evaluate the circumstances of your case and tell you whether or not you have grounds to pursue a breach of contract claim.
How do you determine whether a contract is valid?
In order to be valid, a contract must be supported by consideration and mutual assent . A contract may be oral or in a written form. For a contract to be considered valid, there can be no misrepresentations, fraud, or undue pressure. A contract formed with someone who lacked the mental capacity to enter into a contract or on behalf of a corporation, or engaged in illegal acts, may also be invalid.
Do I have a valid breach of contract claim?
In order to have a valid claim for breach of contract, an individual must be a party to the agreement. The person must have suffered damages that were caused when the other party to the contract breached the agreement. The claim can be either for breach of an implied or an express contract. A person who intended to enter into the agreement or partially performed some of its terms might still have a valid claim for breach of contract.