Should I Sign?

Frequently Asked Questions About Contracts

Get expert answers to common questions about contracts, hidden clauses, red flags, and what to watch out for before signing any agreement.

General Contract Questions

What should I check before signing any contract?

Always read the entire contract thoroughly, check for hidden fees, understand termination clauses, verify all parties' information, ensure terms match verbal agreements, and consider having a lawyer review complex contracts. Pay special attention to fine print and any clauses in smaller font.

Are verbal agreements legally binding?

While some verbal agreements can be legally binding, they're much harder to enforce and prove in court. Always get important agreements in writing, especially for contracts involving money, property, or long-term commitments. Written contracts provide clarity and protection for all parties.

Can I negotiate contract terms before signing?

Absolutely! Most contracts are negotiable, especially in business and employment situations. Don't be afraid to ask for changes, request clarification, or propose alternative terms. It's better to negotiate upfront than to regret signing unfavorable terms later.

What happens if I sign a contract without reading it?

Signing a contract without reading it is legally binding in most cases. 'I didn't read it' is rarely a valid defense in court. You're responsible for understanding what you're agreeing to, so always take the time to read and understand every clause before signing.

Rental Contracts

What are common hidden clauses in rental agreements?

Watch out for automatic rent increases, excessive cleaning fees, restrictions on guests, hidden utility charges, early termination penalties, and clauses that make you responsible for normal wear and tear. Some landlords include clauses that violate tenant rights laws.

Can a landlord change the terms after I sign?

Generally, no. Once signed, contract terms cannot be changed unilaterally. However, some contracts include clauses allowing for rent increases with notice, or changes to building rules. Always check for such clauses and understand your rights under local tenant protection laws.

What should I do if I find mold or maintenance issues after signing?

Document everything with photos and written communication. Most jurisdictions require landlords to provide habitable living conditions. Contact your landlord immediately in writing, and if issues persist, contact local housing authorities or tenant advocacy groups.

Are security deposits always refundable?

Security deposits should be refundable, but landlords can deduct for actual damages beyond normal wear and tear. Some contracts include non-refundable 'cleaning fees' or 'pet deposits.' Always document the property's condition when moving in and out with photos.

Employment Contracts

What red flags should I look for in employment contracts?

Beware of non-compete clauses that are too broad, unclear salary structures, excessive confidentiality agreements, vague job descriptions, unfair termination clauses, and clauses requiring you to pay for training if you leave. Also watch for clauses that waive overtime pay rights.

Can my employer change my contract without notice?

Generally, no. Employment contracts cannot be changed unilaterally. However, some contracts include clauses allowing for 'reasonable changes' or 'as business needs require.' If you're asked to sign a new contract, you have the right to negotiate or refuse.

What should I know about non-compete clauses?

Non-compete clauses must be reasonable in scope, duration, and geographic area. Overly broad non-competes may be unenforceable. Check local laws, as some jurisdictions heavily restrict non-compete agreements. Consider negotiating the terms before signing.

Are all employment contracts the same?

No, employment contracts vary significantly by industry, position level, and company. Executive contracts often include stock options, severance packages, and golden parachutes. Entry-level contracts may be more standardized. Always read and understand your specific terms.

Business & Service Contracts

What hidden fees should I watch for in service contracts?

Look for setup fees, early termination fees, automatic renewal clauses, price increase clauses, minimum usage requirements, and fees for services you don't need. Some contracts include 'convenience fees' for payments or 'processing fees' for changes.

How can I avoid getting locked into long-term contracts?

Look for month-to-month options, reasonable cancellation terms, and trial periods. Avoid contracts with automatic renewals or excessive early termination penalties. Some services offer discounts for longer commitments, but ensure you can afford the long-term obligation.

What should I check in gym membership contracts?

Beware of automatic renewals, high cancellation fees, minimum commitment periods, and clauses that make it difficult to freeze or cancel. Check if the contract allows for medical holds, transfers, or early termination due to relocation. Some gyms require written cancellation notices.

Are there hidden clauses in software or app terms of service?

Yes, many include clauses about data collection, automatic renewals, price changes, and limitations on liability. Some apps require binding arbitration instead of court proceedings. Always read the fine print, especially for free services that may have hidden costs or data usage terms.

Contract Termination & Disputes

How can I legally get out of a contract?

Check for termination clauses, cooling-off periods, or breach of contract by the other party. Some contracts allow termination with notice or payment of a fee. If the other party breaches the contract, you may have grounds for termination. Consult a lawyer for complex situations.

What should I do if I think a contract is unfair?

Don't sign it immediately. Take time to review, research your rights, and consider consulting a lawyer. Many unfair contract terms may be unenforceable under consumer protection laws. You can also try negotiating better terms before signing.

Can I sue if a contract is breached?

Yes, but first check if the contract requires mediation or arbitration. Document all breaches with evidence, and try to resolve issues through communication first. Small claims court may be appropriate for smaller disputes. Consult a lawyer for complex cases.

What is a cooling-off period?

A cooling-off period allows you to cancel a contract within a specified time (usually 3-7 days) without penalty. This is common in door-to-door sales, gym memberships, and some service contracts. Check your local laws and the specific contract terms.

Still Have Questions About Your Contract?

Our AI-powered contract analysis tool can help you identify potential issues, hidden clauses, and red flags in your contracts before you sign them.