Are Your Customers an Obstacle to Change in Contract Drafting?

I’ve thought it clear enough why companies don’t clean up their template contracts: Those who make the decisions are unaware of the problem. Or they’re aware of the problem but are unwilling to do anything about it, because for them the near-term cost of addressing the problem—in terms of expenditure of resources, loss of clout, or injury to their reputation or their ego—outweighs the risk and long-term drain of contracts-as-usual.

But recently someone suggested another reason: that his company is hesitant to upgrade their contracts because customers react with suspicion to any changes in their contracts with the company.

How much of an issue is this generally?

About the author

Ken Adams is the leading authority on how to say clearly whatever you want to say in a contract. He’s author of A Manual of Style for Contract Drafting, and he offers online and in-person training around the world. He’s also chief content officer of LegalSifter, Inc., a company that combines artificial intelligence and expertise to assist with review of contracts.