Protect Yourself from Unfair Contracts
Our Maryland business lawyer can help protect you against unfair contracts.
As a business owner, you will enter into a number of contracts – leases, supplier agreements, employment contracts, and more. A contract legally entered into is supposed to protect all parties from unfair practices, serve as a guideline as to what is expected in terms and conditions and performance, and specify what the parties are to gain from the transaction. You want to ensure that any contract you sign is fair and offers you some legal recourse should a contract dispute arise, but it’s equally important to make sure you don’t inadvertently create unfair or illegal contracts.
Unfortunately, problems often arise with contracts, and when a contract dispute arises, it may turn into a lawsuit for breach of contract and become a matter for the court to resolve. The result can be expensive litigation and loss of business and your valuable time. To lessen the chances of contract disputes and lawsuits, business owners must make sure all contracts entered into are created fairly and according to Maryland and federal law.
Business law attorney Rebekah Lusk and her team know the challenges that face business owners and are here to help with all your contract needs. We are dedicated to supporting our clients by providing them with the legal services necessary to create fair contracts, and to provide defense should problems come up.
Regardless of your business situation, we are here to help you create new contracts from the start, examine your existing contracts and rewrite them if necessary, and handle any challenges that arise.
Don’t let the small contract issues become major problems in the future. Contact the Frederick, Maryland, business law attorneys at Lusk Law, LLC to gain a long-term ally for your business. Call (443) 535-9715 today.
Maryland Contract Basics – Business Contract Lawyers Explain the Laws
Maryland has a Consumer Protection Act that covers unfair contracts. Under Title 13, Subtitle 3 §§ 13-301, unfair or deceptive trade practices are defined.
According to the law, unfair or deceptive trade practices relating to contracts include any:
- False, falsely disparaging, or misleading oral or written statement, or other representation which can deceive or mislead consumers;
- Representation that consumer goods, realty, or services have a use, benefit, or quantity which they do not have or that consumer goods, consumer realty, or consumer services are of a particular standard, quality, grade, style, or model which they are not;
- Failure to state a material fact if the failure deceives or tends to deceive;
- Knowingly making a false statement that a service, replacement, or repair is needed;
- Deception, fraud, false pretense, false premise, misrepresentation, or knowing concealment;
- Suppression or omission of any material fact that a consumer relies on in connection with a contract;
- Use of a contract related to a consumer transaction which contains a clause that waives the consumer’s right to a legal defense;
- Use by a consumer realty seller of a contract related to the sale that contains a clause limiting the buyer’s right to obtain consequential damages as a result of the seller’s breach or cancellation of the contract.
These and other unfair competition laws are intended to ensure that consumers who enter into a business deal receive the benefit of the bargain they were promised. The laws apply to all industries in Maryland, and there are also federal laws under the Federal Trade Commission Act or FTC Act under which a company can face legal action regarding unfair competition affecting a consumer.
Our Attorneys Know When Contracts Can Be Found Unenforceable
When contracts are not written correctly, the courts may find them unenforceable.
In general, when a contract dispute is brought to court, the contract may be found unenforceable due to:
- Misrepresentation – if one party has deliberately made a false statement or withheld information essential to the contract.
- Unconscionability – if a contract is clearly unfair, and that the contract’s consideration benefits one party significantly more than the other.
- Lack of competency – If a contract is signed by a minor or a person with dementia, or someone who cannot read or who doesn’t speak English but signs a contract written in English, the contract may not be enforced.
- Violation of a state or federal statute – if there is a state or federal law that takes precedence over a contract.
- Non-specificity – if the contract is based on a template that may lack specifics or does not comply with local laws.
The best way to avoid entering into an unfair or illegal contract is to consult a business law attorney. Get legal help in drafting the contracts you use in your work and never sign a contract until your attorney reviews it. Lusk Law, LLC, knows how to help business owners interpret and create contracts, putting them in the best position to avoid litigation. If you have questions about contracts, please call us at (443) 535-9715 today.
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