Purpose of Contract Review
The following are the main reasons why Thailand needs contract review:
- Make sure everything goes as planned during the sale.
- Any applicable or advisable terms that the parties agree to include in the contract may be added, removed, or modified.
- Including a contingency clause in case of future issues, such paying taxes while selling a home.
- If the building of the property is still in progress, it might also contain requirements for completion and penalties for delays in development.
- If the property is still being developed, the contract needs to outline a schedule and requirements for it.
Contract review is required in Thailand to guarantee that your contract contains all of the aforementioned criteria. This will help you avoid later running into problematic legal issues.
Benefits of Contract Review
Competent legal counsel and law firms encourage this practice in addition to its use for a number of inevitable reasons. Top officials may have a busy schedule or a heavy job that prevents them from attending to minor issues. As a result, the company’s success depends on a contract review by a specialist or lawyer.
A lawyer with litigation and document management skills can save a lot of money and time by reviewing a contract before signing it. Failure to do so and using legal action as a remedy can be very expensive and distressing. Additionally, there is no assurance of success.
The Contract should be legal and enforceable
Contract review in Thailand is an important procedure to avoid potential legal problems. It can help ensure that all the details of a contract are clear and enforceable. The review can also clarify unclear clauses and identify hidden risks in the contract. Thai contracts can often be difficult to understand, written in difficult and complicated legalese, and contain many ambiguous clauses. This can result in disputes and lawsuits in the future.
A contract should specify how disputes are to be settled. The contract should clearly define the parties’ rights to arbitration and mediation, which can save time and money. If the contract contains indemnification provisions, special care should be taken to limit the scope of coverage. In addition, a legal practitioner can help define the causes for contract termination.