Law Office of Yoel Molina, P.A.
  • Home Page for Business Attorney, Yoel Molina / Abogado Corporativo y de Negocios Yoel Molina
  • 10 tips to avoid bad business deals
  • Traffic Ticket blog/ Blog de Multa y Tickets
  • Business Law
  • Derecho empresarial
  • Corporate & Business
  • Corporaciones & Negocios
  • T.V. Appearances, Awards, Affiliations, and Miami, Fl. Community Involvement of Business Attorney Yoel Molina/ T.V. Apariciones, Premios, Afiliaciones y Miami, Fl. Participación Comunitaria del Abogado Comercial Yoel Molina
  • Garantia De Reembolso De Dinero.
  • Client Video Testimonials of Business Law Attorney Yoel Molina / Video del cliente Testimonios del Abogado de Derecho mercantil Yoel Molina
  • About The Law Office of Yoel Molina, P.A. Miami Law Office / Sobre la oficina de abogados de Yoel Molina P.A. Oficina de Derecho de Miami
  • Acerca de la Oficina de Derecho Empresarial y Corporativo de Yoel Molina / About the Business and Corporate Law Office of Yoel Molina
  • Miami Corporate and Business Client Services / Servicios para clientes corporativos y comerciales de Miami
  • Biografía del Abogado de Derecho Empresarial y Corporativo Yoel Molina
  • Contact Business and Corporate Law Attorney Yoel Molina / Contacte al Abogado de Derecho Comercial y Corporativo Yoel Molina
  • Blog / Who cannot contract?
  • Terms and Conditions of Legal Service Agreement
  • Spanish / Espanol Blog
  • Business Blog
  • General Counsel Landing Page
  • Business Law Subscription Plan Service
  • Nuestros Precios
  • Business Package / Landing Page. Spanish
  • Business Package / Landing Page. BILINGUAL
  • Business Package / Landing Page. English
  • Our Fees
  • Money Back Guarantee
  • Appointment Page
  • Free legal tips Ad
  • General Counsel Unlimited Advice Plan Interest Form
  • About The Law Office of Yoel Molina, P.A. Miami Law Office / Sobre la oficina de abogados de Yoel Molina P.A. Oficina de Derecho de Miami
  • Home Page for Business Attorney, Yoel Molina / Abogado Corporativo y de Negocios Yoel Molina
  • 10 tips to avoid bad business deals
  • Traffic Ticket blog/ Blog de Multa y Tickets
  • Business Law
  • Derecho empresarial
  • Corporate & Business
  • Corporaciones & Negocios
  • T.V. Appearances, Awards, Affiliations, and Miami, Fl. Community Involvement of Business Attorney Yoel Molina/ T.V. Apariciones, Premios, Afiliaciones y Miami, Fl. Participación Comunitaria del Abogado Comercial Yoel Molina
  • Garantia De Reembolso De Dinero.
  • Client Video Testimonials of Business Law Attorney Yoel Molina / Video del cliente Testimonios del Abogado de Derecho mercantil Yoel Molina
  • About The Law Office of Yoel Molina, P.A. Miami Law Office / Sobre la oficina de abogados de Yoel Molina P.A. Oficina de Derecho de Miami
  • Acerca de la Oficina de Derecho Empresarial y Corporativo de Yoel Molina / About the Business and Corporate Law Office of Yoel Molina
  • Miami Corporate and Business Client Services / Servicios para clientes corporativos y comerciales de Miami
  • Biografía del Abogado de Derecho Empresarial y Corporativo Yoel Molina
  • Contact Business and Corporate Law Attorney Yoel Molina / Contacte al Abogado de Derecho Comercial y Corporativo Yoel Molina
  • Blog / Who cannot contract?
  • Terms and Conditions of Legal Service Agreement
  • Spanish / Espanol Blog
  • Business Blog
  • General Counsel Landing Page
  • Business Law Subscription Plan Service
  • Nuestros Precios
  • Business Package / Landing Page. Spanish
  • Business Package / Landing Page. BILINGUAL
  • Business Package / Landing Page. English
  • Our Fees
  • Money Back Guarantee
  • Appointment Page
  • Free legal tips Ad
  • General Counsel Unlimited Advice Plan Interest Form
  • About The Law Office of Yoel Molina, P.A. Miami Law Office / Sobre la oficina de abogados de Yoel Molina P.A. Oficina de Derecho de Miami
Search by typing & pressing enter

YOUR CART

11/7/2022 0 Comments

What are the Basics of a Contract Negotiation?

Picture
By The Law Office of Yoel Molina.
 
The exchange of concessions and demands that takes place during contract negotiations is what leads to an agreement. Alternatively, "you don't get what you deserve; you get what you negotiate," as the saying goes in business. The fundamentals of contract negotiation are examined in this essay.
 
The key elements of negotiation are risks and revenues:
In a typical contract negotiation, both parties make certain concessions to achieve their objectives. Even though there are always a lot of intricacies to iron out, the two most important considerations in contract negotiations are risks and revenues.

Here is one instance. In a residential lease discussion, a landlord seeks to secure a lucrative rental income (revenue), while simultaneously securing the right to promptly evict the tenant and safeguard the property if something goes wrong (risks).
 
Negotiation and attorneys:
If you are a business owner or manager, you may have come across the following circumstance. Your business thinks it has achieved an understanding with another firm over the parameters of a deal. To work out the details, both sides call in their legal counsel, but as soon as they get involved, everything falls apart. That might be the case because while lawyers are negotiating, three variables might be in conflict. They desire to:

• Reduce risks for their clients while increasing revenue.
• Perform ethically to avoid potential malpractice lawsuits and to avoid disappointing clients (who can always find another lawyer)
• Earn money (this latter element creates the perverse incentive because the longer it takes to negotiate a deal, the more money the lawyer makes). To put it another way, it is advantageous if one or both parties drag out the negotiation.
Even if the first and second elements receive the majority of attention, some lawyers are content to let talks go on until the clock runs out. By determining which issues are still in contention, ranking the most important risks, and giving their attorney the appropriate instructions, the client can influence the negotiation process to some extent.
 
What Kind of Negotiator Are You?
There are several bargaining methods, as you are surely aware from watching TV series like The Apprentice. The two most popular approaches are competitive ("I will dominate you") and cooperative ("Together we will prosper"). The many negotiation techniques are, of course, used by actual individuals, who bring their personalities, temperaments, and lists of phrases to the table. One negotiator might yell and threaten to leave the room, while another might speak in a cool, detached manner.

According to different authors, cooperative negotiations without significant emotional outbursts are most likely to result in the best outcomes. Anger and similar feelings sometimes lead to a vengeful attitude to problem-solving, cloud judgment, foster competitiveness, and prevent mutually beneficial conclusions.
 
When Does a Contract Become Enforceable?
Is it after the parties agree on the conditions of the company or after the legal contract is finished? A deal is not deemed to be closed in accordance with contract law until all of its significant elements have been discussed and decided. Therefore, the core of any legal dispute over whether and when a contract exists would be whether any of the unanswered legal concerns represent material conditions of the agreement.

If the parties have agreed on the business components of the contract and choose to proceed without completing the legal details, they may use an escrow account or condition the release of payments on the execution of a written agreement. This removes the issue of having to search for the money you invested if the deal doesn't work out. Everyone receives their investment back if the negotiations fail, and they continue their lives.
 
The "Take It or Leave It" Situation when Bargaining:
The respective bargaining positions of the parties play a significant role in the final result of contract negotiation. A party with much greater bargaining power, such as a landlord operating in a housing shortage or a business recruiting during a downturn, is not required to engage in negotiations. Instead, these powerful individuals frequently offer the weaker party a contract and instruct them to "take it or leave it." This can occasionally backfire in circumstances of contracts of adhesion—form contracts that cannot be negotiated—because the disadvantaged party may later claim that a clause is unfair or unjust.

Even though you are in a stronger position to negotiate, it is not always to your best advantage to set the terms.
 

If you have any questions about this article or similar matters please contact our office, Law Office of Yoel Molina, P.A., at fd@molawoffice.com or at 305-548-5020, option 1

0 Comments



Leave a Reply.

    Author

    Write something about yourself. No need to be fancy, just an overview.

    Archives

    February 2023
    January 2023
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022

    Categories

    All

    RSS Feed


​Attorney Molina's BIO

Contact 

Criminal
Blog


Business Blog


Copyright 2018
​All Rights Reserved

"Mr. Molina has always been there for us with timely, reliable and competent advice. He is an important and valuable part of our team."  Corporate Client Eric Delgado, President of American International Export, Inc., a worldwide importer and exporter of brand name appliance parts.
"Yoel has been responsive and attentive to our company’s best interests and needs.   He has been a valuable resource to our company.  Any company that enlists his services would be in good hands-- including our own clients.” Corporate Client Gibran Flynn - Co-Owner and Founder of Eleva Solutions, Inc., the South Florida leader of outsourced HR, Staffing, Training, and Loss Prevention.
"My name is Anastasia Yecke Gude and I am the owner of Healing Hands Therapeutic Massage LLC.  In the process of my company’s growth and expansion, I suddenly found myself a few weeks ago in need of a 1099 contractor agreement, and I needed it ASAP.  As in, the very next day!  I contacted the Law Office of Yoel Molina and his assistant put me in touch with Mo.  I sent him what I had drafted up and he replied within a few hours with suggested revisions and clarifications, as well as a few insights I had not even considered.  I was thoroughly impressed by the quality of work he provided, especially considering the time crunch I put him in (sorry, Mo!).  I definitely recommend his services to anyone in need of a good contract attorney, and I will be calling him again for future work…hopefully in less of a rush next time!"