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Update Contracts To Avoid Wiping Out Your Business

update contracts with revisionsIf you haven’t reviewed the agreements you’re using in your business in the past year, it’s time to update contracts to protect your business. Or risk bankruptcy.

Here’s what to do…

1. Modify Signed Agreements

Many business contracts can be renegotiated if circumstances have changed since you originally signed them. For example, the COVID-19 coronavirus pandemic shook up companies globally, both from a health risk standpoint and financially. Businesses are renegotiating their agreements to reflect the world today.

2. Update Contract Templates

Most companies use template agreements prepared by their legal counsel. These templates contain important language need to be updated to reflect a business’ current needs and to address new laws and regulations. For example, the collection and use of biometric data is protected now in some jurisdictions. However, many companies that collect such data are unaware of these new legal requirements until they get sued or the government comes after them.

3. Fill in The Gaps

As you work with an experienced business lawyer, it’s likely that you’ll discover gaps in your protection that need to be fixed by creating new agreements. For example, when COVID-19 quarantines went into effect with orders to shut down “non-essential” businesses, some company owners shifted to providing products and services online that traditionally they had sold only at brick-and-mortar locations. Of course, this means preparing new contracts that focus on ecommerce because those used in offline transactions have different requirements.

Do You Need Help Updating Your Business Agreements?

Set up a phone consultation with a transactional attorney who understands both brick-and-mortar and online business. During the consultation, you’ll be able to map out a game plan to update contracts and create new agreements as-needed.

Mike Young, Esq.

Author Mike Young, Esq.

Mike Young has been practicing business and technology law since 1994 and is an angel investor in startups. He's been an entrepreneur since 1988. To get legal help from Attorney Young, click here now or call 214-546-4247 to schedule a phone consultation.

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