Choose a Provision
For this module’s Discussion Board, please read Document 2 – Website Development Agreement (Version 1) (1).docx beginning on page 513 of the Stark text (2nd ed.). When you have completed your review, please choose a provision of the Agreement to discuss (do NOT choose a definition (Section 1) , “general provision” (Section 13), or the example provision below).
Identify and Analyze the Provision
You will need to type or copy your chosen provision into your post, then identify which contract concept(s) is being utilized in the provision. When discussing the contract concept and the provision, utilize Appendix 1 – Contract Concepts.docx on page 41 and use the provided questions/analysis to frame your discussion. You can also reference Appendix 2: Summary Chart on page 43-44. Also, if applicable, determine what happens–the consequences–under the terms of the Agreement, if a party does not perform under the chosen contract provision.
Example:
4.3.1 Billing Rates. The billing rates for Team members range from $75 to $225 an hour. The Developer may increase these rates only after having given the Client at least 30 days prior notice.
The first sentence of provision 4.3.1 is the contract concept of a Declaration. It is a “true” fact establishing the pay policy for the contract. A party would not want monetary damages related to the policy. Indeed, if the Developer charged more than $225 an hour, the Client simply would not pay the higher rate. The Client would not choose to take the Consultant to court or terminate the agreement. The Client would pay the rate articulated in the declared policy.
The second sentence of the Billing Rates provision is the contract concept of Discretionary Authority. Under the provision, the Developer may raise rates for Team members, however, the Developer must give the Client at least 30 days notice before the rates would become effective. The Developer holds the right to choose to take action or not take action. Giving the Developer this discretionary authority would be risky on its own, because the provision read alone suggests that the Developer can raise Team members rates whenever and by any amount as Developer chooses so long as the Client has the proper notice. However, the risk of billing rate increases is mitigated by section 4.1 which articulates a cap for the total contract Services.
Textbook: (Ch 9-12, 14 Mandatory Reference Materials)
Drafting Contracts: How & Why Lawyers Do What They Do , Second Edition (Aspen Coursebook) 2nd Edition, Tina L. Stark.
ISBN: 978-0735594777
Attached is the Document 2 needs to read and Appendix 1 Contract Concept required for this assignment post paper.
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