I know this is a super geeky lawyer tip; however, I’m sure you’re reading because you admire the legal gems we aim to share weekly. Also, subscribe to our newsletter to receive these gems directly in your inbox.
👉🏽 So here’s my Legal Gem—
I drafted a contract a few weeks ago (specifically a Master Participant Agreement) and added a clause I’ve NEVER added before, which could be beneficial for you if you offer your services on a flat fee basis.
Generally, many coaches and service providers place a NO REFUNDS policy in their contract (I mean, it’s a pretty standard thing to do); however, I have consistently seen this particular clause challenged by breaching parties and their attorneys who demand a full or partial refund.
I’ve found that the individual who wants to cancel the contract usually DEMANDS the other party break down the value of their flat fee services like four flat tires (which honestly defeats the point of offering a service at a flat fee in the first place, but I digress).
Ultimately, everyone spends a gaggle of money on attorneys fees negotiating on these points of assigned value which opens up a can of worms because the company’s assigned value is NEVER what their client believes they received.
Anywho, I added language to the contract that my client will NOT amortize payments to represent incremental values to each week of participation.
Amortization is the action or process of reducing or paying off a debt with regular payments.
Ain’t nobody got time for that.
In short, the addition of this clause strengthens my client’s position so that someone won’t try to argue with them over shekels and pennies.
There’s a lot more to it but I smiled a little adding that nugget and thought it would be lovely to share here so you all can explore it yourself.
To truth, triumph, and trademarks,
Ticora Davis, Esq.
P.S. If you need your contracts refreshed, we do that too.