The notices clause in a client services agreement (CSA) is another type of boilerplate clause (as is the entire agreement clause) that can sometimes get ignored or forgotten. It shouldn’t. Below we’ll discuss what a notices clause is and why you should pay close attention to the language it encompasses.
Understanding the Notices Clause
The notices clause will come at or near the end of your CSA and is generally not something that gets negotiated. Like the majority of provisions in a contract, its purpose is to help prevent disputes. It does so by specifying what constitutes a legally binding notice per the terms of the contract.
What is a Notice and Why Does It Matters
In your contract, you should specify how notices should be given (i.e., in writing and delivered by mail, fax or email, etc.) and when the notice is deemed officially delivered (mail takes longer to deliver than email, for example).
Including a comprehensive notices provision in your contract reduces the likelihood of miscommunication between parties. And as you know, better communication can lead to fewer disputes.
Notices are important in myriad situations including when one party would like to accept or reject an offer of proposal, you’d like to renew or amend the term of the agreement, or one party would like to terminate the contract. These and other situations call for proper notice. Outlining how and when notice must be given is vitally important to providing clarity of process and protection for both parties.
For help creating your legally binding contracts, contact our team at the Law Offices of Alex D. Sirulnik, P.A. today to discuss your needs and how to best protect your business interests with comprehensive agreements.