Established 1958 ~ Hardball Business Litigation & Complex Negotiations

What Should I Do if I Find an Error in My Business Contract?

Philadelphia Business Lawyers at Sidkoff, Pincus & Green P.C. Can Help You if You Have an Issue With Your Business Contract.

Most business contracts are complex, containing dozens of sections, sub-sections, and countless provisions detailing the requirements by both parties. Miscommunications could happen and something could be put in writing that should not have been. Also, there could be simple typos that happen when a contract is long. It is possible that a simple typo could significantly change the meaning or terms of a contract. If the typo is not caught during a review of the final draft, the parties could be in a tough spot since both parties signed the document.

There are three main categories of mistakes that can happen in business contracts.

Unilateral Mistakes

This is where one side of the contract makes the mistake or misunderstands a term or provision within the contract. This is the most common mistake. There are a few ways a contract can be rescinded if a unilateral mistake has been made:

  • A drafting or clerical mistake that did not lead to gross negligence.
  • If the error was so serious and irrational to be outrageous.
  • If one party to the contract relied on a material fact that the other party knew was a mistake but failed to inform the other party.

The best way to make sure unilateral mistakes are not made is to hire an experienced lawyer who focuses their practice on drafting and negotiating business contracts.

Mutual Mistake

A mutual mistake is when both parties misunderstand a term or provision in the contract. Since both sides have made the mistake, the contract can usually be voided. However, there must be a material fact for a mutual mistake to be void.

Common Mistake

A common mistake occurs if both parties mistakenly believe or misunderstand similar facts. The issue at the heart of the mistake has to be a fundamental aspect of the contract.

How to Prevent Business Contract Mistakes?

You want to make sure you have a lawyer on your side. Make sure your lawyer understands the goals of the contract that is being agreed upon, as well as the minor issues. A good line of communication with your lawyer is extremely important so that there are no misunderstandings and that everyone is on the same page.

Review every line of the contract with your lawyer. If there are any questions, make sure to go over the language in detail to make sure you completely understand the purpose of each sentence.

Philadelphia Business Lawyers at Sidkoff, Pincus & Green P.C. Can Help You if You Have an Issue With Your Business Contract

If you need to have a business contract negotiated and drafted, it is important that you consult with a lawyer. Our Philadelphia business lawyers at Sidkoff, Pincus & Green P.C. can help you explore your options. Call us at 215-574-0600 or contact us online to schedule an initial consultation. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.