One of the pleasures of contract drafting is that the parties are as a general matter left to their own devices. Of course you have to structure any given transaction in a way that takes into account legal, tax, regulatory, or other considerations, but as a rule how you do that is up to you. But sometimes outsiders are going … Read More
Last week a reader asked me whether I knew of any cases discussing the distinction between saying “to the Seller’s knowledge” and saying “to the best of the Seller’s knowledge.” It’s commonplace for drafters to use the phrase the best of when referring to someone’s knowledge. For example, in the past month 98 contracts filed on the SEC’s EDGAR database … Read More
Today’s issue of the New York Law Journal contains, in the “GC New York” section, my second bi-monthly “Contract Drafting” column. Entitled “Sending Contracts Offshore,” this column explores the possible benefits to U.S. companies of having their contract-related work performed outside the U.S. It also discusses factors to bear in mind when deciding whether to have such work performed by … Read More
Via the InHouse Blog I learned of a briefing paper written by Leon N. Ferera, John R. Phillips, John Runnicles, and Jeffery D. Schwartz of Jones Day entitled “Some Differences in Law and Practice Between U.K. and U.S. Stock Purchase Agreements.” It touches on various subjects of interest to me, but what caught my eye in particular was its discussion … Read More
I’ll be doing for West Legalworks a summer series of my “Contract Drafting—Language and Layout” seminar. Here are the dates: June 19, Los Angeles June 21, Dallas June 26, Chicago July 18, New York City July 25, Seattle August 2, Boston I hope to see you there. Once the brochure and the relevant page of West Legalworks’ website are ready, … Read More
When more than one party is making a set of representations, it’s commonplace for drafters to use in the representations lead-in the couplet jointly and severally, as in “The Sellers jointly and severally represent to the Buyer … .” One also sees jointly and severally and its adjectival counterpart, joint and several, used with obligations. For example, I’ve seen it … Read More
In any contract, may can be used to convey two meanings. (I’m not counting the superfluous may discussed in MSCD 3.58.) May primarily serves to convey discretion, as in The indemnified party may at its expense retain separate co-counsel. But may can also be used to convey the possibility of something coming to pass, as in Acme may be subject … Read More
In this post, Rees Morrision of the Law Department Management blog notes how some law firms are helping law departments implement document-assembly initiatives. I’m glad to see that document assembly is gaining ground. But given the questionable quality of mainstream contract drafting at even the biggest law firms, I suspect that such arrangements are susceptible to GIGO.
[Update: For my 2012 take on this topic, see this post.] In an October 2006 post I discussed the terms hold harmless and indemnify. I noted that Black’s Law Dictionary states that the two terms have the same meaning whereas Mellinkoff’s Dictionary of American Legal Usage says that one can also distinguish the two terms—that “hold harmless is understood to … Read More
On April 11–13, the American chapter of the International Association for Contract and Commercial Management (IACCM to its friends) will be holding in New Orleans its “5th Annual Forum on Commitment Management: Shaping Change and Driving Value Through Lean Contracting.” (Click here for more information.) IACCM is an organization geared to the needs of contract-management personnel. As I looked through … Read More
