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5 dangers of unsigned contracts and agreements

5 dangers of unsigned contracts and agreements:

A contract has been defined as a written or spoken agreement, especially one concerning employment, sales, or tenancy, that is intended to be enforceable by law. It is advisable that parties negotiate and manage contracts before concluding on it. One of the ways one can show that they do agree with the terms and with the other party’s condition, is when they sign or witness the contract/agreement.

Therefore, signed a contract is very important, the dangers of not signing a contract are as indicated below.

  1. Lack of Legal Enforceability: Unsigned contracts and agreements are not legally binding. This means that parties may not be able to enforce the terms and conditions stated in the contract. This also is an indication that there was no agreement between the parties.
  2. Ambiguity: An unsigned contract or agreement may lack clarity and precision in terms of obligations, duties, and responsibilities of both parties. This may lead to a misunderstanding or disagreement between the parties.
  3. Misrepresentation: In the absence of signed contracts and agreements, one party may misrepresent their intent, obligations, or duties in the contract. This leads to the other party being misled and unprotected.
  4. Unforeseen Circumstances: Unsigned agreements may not account for unforeseen situations that may arise during the performance of the contract. This may lead to conflicts and disputes between parties.
  5. No Legal Record: Without a signed contract or agreement, there is no legal record of the terms and conditions agreed between the parties. This may lead to confusion, misunderstandings, and loss of evidence in case of a legal dispute or litigation.


In conclusion, it is advisable to always sign contracts and agreements to avoid the risks and dangers associated with unsigned contracts.

How can we assist?

The success of a business is pegged on how well it protects itself from loss and harm arising from contractual relationships. Such loss and harm is prevented or reduced by having an understanding of how contracts/agreements are drafted and negotiated. At Netsheria International, we offer a wide scope of legal documents and legal to meet the requirements for different businesses. For more information, kindly visit our website at www.netsheria.com

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