Mastering the Art of Signing Enforceable Contracts: A How to Sign a Contract Guide for Coaches, Creatives, and Entrepreneurs

Hi there, dreamers & dynamos,

Welcome to contracts 101.

Welcome to How to Sign a Contract 101!

I know that "How to sign a contract" may seem obvious but contracts are so important to business that it is worth taking time to fully understand. Contracts are essential to make sure you are fairly compensated but they also set the tone for your client relationships. In many cases, contracts are the area of business where most issues, both legal and customer service based, arise. So it's absolutely crucial that you get the document itself right (I have some legal templates to help with that).

Let's get those contracts signed correctly, so that you can get paid!

I know it may seem intuitive, but knowing how to sign a contract is actually more complex then scrawling your name on the dotted line. You also need to make sure that the contract is signed properly by both you and your clients.

If you're ready to make sure that your hardworking contract actually works for you and is signed correctly, you've come to the right place. We're diving into the world of contract signing – a dance that, when done right, ensures your agreements are not just ink on paper, but legally binding and enforceable.

Fortunately, once you understand the basics, it is easy to get it right! So, grab your favorite beverage, cozy up, and let's unravel the secrets of how to sign a contract correctly and create rock-solid, enforceable agreements that are as easy to use as they are legally sound!

The Art of Signing: A Prelude to Enforceability

Picture this: You've just crafted a brilliant contract that's as radiant as your ambitions. But hold your pens – before you dive into the act of signing, there's a little groundwork to lay. Enforceability, the magic word in the world of contracts, hinges on a few crucial principles:

1. Clear Understanding: Before you even think about signing, ensure you and the other party understand every detail of the contract. This eliminates confusion and disputes down the road. Mutual understanding is the whole point of the signing a contract when you get right down to it. It won't matter if your contract is signed correctly if it does clearly articulate what you and your client are agreeing to.

2. Voluntary Agreement: Enforceable contracts require all parties to enter into them willingly, without coercion or duress. No magical spells or pressure tactics here! You also can't sneak a contract onto the tail end of another document. Both you and the client need to be fully aware of your commitment. 

3. Consideration Exchange: Every contract needs a "give and take." This is the consideration – something of value exchanged between parties. It could be money, services, or even a peppercorn (some famous legal contract jargon, right there!). Don't sweat this though, for you, this probably means the products or services that you will provide in exchange for your client's payment.

4. Legal Purpose: You can't create a contract to do something illegal – like robbing a bank or taking a test on behalf of someone else. For a contract to be enforceable, its purpose must be lawful. Again, this probably won't be an issue for you biz (at least I hope not!).

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Step-by-Step Guide: How to Sign Contracts Correctly

1. Read, Reread, and Reflect:

Before you pick up that pen, cozy up with the contract. Dive into every clause, nook, and cranny. If something doesn't sit right, don't hesitate to ask questions or seek legal guidance. It does not matter if you've exchanged a dozen emails or had a billion heart-to-hearts about the terms of your professional relationship. You still need to read every blessed word to make sure that the contract says what you think it does.

2. Putting the "signing" in how to sign a contract:

Your contract is ready, your heart is in it – time to add your official signature. Use your legal name, just as it appears on other official documents. No room for nicknames or aliases here. Remember that you are probably signing on behalf of your business, so act like it. Include your position in the company next to your printed name. Also, make sure that the company's name is in the signatory caption. It never hurts to add "On behalf of XYZ company." 

3. Witness the Magic:

In some cases, having a witness is the special sauce that your contract needs to be enforceable. This witness is often someone not party to the contract, and their signature attests that they saw you sign in person. Most contracts don't need witnesses to be enforceable but keep in mind it is an option.

4. Date with Deliberation:

Write down the date when you sign. This isn't just to remind you when you sealed the deal – it can be crucial in case you need to prove when the contract was executed. Plus, it serves as the effective date and triggers all other provision to become enforceable. Most well-written contracts include the effective date in the introductory caption, that date needs to match the date it is signed by the last party. 

5. Initialing:

Don't be surprised if you find clauses that require your initials next to your name on each page. It shows you've read and agreed to every part. As an alternative or in addition, I like to pull specific clauses from the contract and include them in a highlight email to draw them to the client's attention.

6. Store It Like a Precious Artifact:

Once you've signed, keep your contract safe. This document holds the potential to protect your interests if anything goes awry.

How to sign a contract for to increase enforceability:

Your signed contract is now a powerful document that safeguards your interests. But like any good enchantment, its magic lies in its details. Here's what transforms your signed contract into a legally enforceable masterpiece. Think of it as how to sign a contract 101.

1. Legible Signatures: Ensure your signature is clear and legible. An indecipherable scribble could raise questions about whether you willingly signed. But any mark is technically acceptable, even an "X." 

2. Authority Matters: If you're signing on behalf of a business or entity, indicate your role and authority.  For example, "Jane Doe, CEO of Exemplary Ventures LLC." Bonus tip: Your contract's introductory caption should also list your company name as the party to contract. 

3. Execution: All parties involved must sign for the contract to be enforceable. Keep in mind that if a third party is responsible for some element of the contract, frequently payment, you will need to have them sign an addendum. And contrary to custom, it doesn't really matter if you or your client signs first. With modern technology, there isn't really a chance to sneak any last minute provisions into the document. That's good news and it means that you can confidently sign the contract first if that works best for you.

Key Tips for enforceable and correctly signed contracts:

• Read it carefully

• Sign with your legal name and in your business capacity

• Make sure that your business's name and address are in the introductory caption

• Consider having your clients initial next to key provisions

• Highlight important provisions in the body of the email that you attach the contract too

• Check that dates are consistent throughout the document and match the date of signing

• If there is a mistake in the contract after it has been signed, you need to send a termination agreement and replace the contract with a corrected document

A handy checklist for how to sign contracts.

Check out this article on what to include in your contracts for them to be legally legit.

How to sign a contract, in conclusion: 

Congratulations, you've unlocked the secrets of how to sign a contract correctly and create an enforceable masterpiece! Just as you infuse your creations with your unique touch, approach contract signing with diligence, understanding, and a dash of legal prowess. Remember, enforceable contracts are your sword and shield in the business realm, ensuring that your collaborations are not just fruitful, but legally protected too. 

You work hard, it's time that your contacts work as hard as you do.

THIS ARTICLE IS NOT A SUBSTITUTE FOR LEGAL ADVICE AND IS OFFERED FOR INFORMATIONAL PURPOSES ONLY. EVERY SITUATION IS UNIQUE AND YOU SHOULD CONSULT A LOCAL ATTORNEY FOR ADVICE ON YOUR PARTICULAR CIRCUMSTANCES.