March 5 · Written by Pamela Rosario
Breaking Down Contract Templates
Before saying a word on contract templates, this applies only to templates drafted by licensed attorneys in the United States. Templates sold by non-lawyers or random sellers should not be used.
There are three useful questions to ask: why do attorneys sell templates, how do you know whether you have a good template, and when should you not use a template?
Why do attorneys sell templates?
Templates can help attorneys expand their reach because they are sold as-is, without legal advice or custom language. They can also make well-drafted legal documents more accessible. A custom contract is tailored to your business but is more expensive than a template. A template drafted by an attorney can be a useful solution when a custom agreement is not the right financial fit.
What is a good template?
Purchasing a template from an attorney does not automatically mean every detail is perfect. Look at the overall care of the document: Is the numbering right? Is the font consistent? Has it been proofread? Most importantly, make sure it addresses the sections promised in the product description, such as scope of services, payment terms, termination rights, and confidentiality.
When should you not use a template?
If you have a unique business relationship or arrangement that does not fit an available template, you likely need a custom contract. It does not make sense to buy a template you need to substantially change. As a nonlawyer, changing language can impact the legal consequences of an agreement or leave out crucial protections for the relationship.
When they make sense for the situation and are drafted by a competent, experienced attorney, contract templates can provide effective, accessible documents.