logologologo

Contact Us

logologologo

Contact Us

logologologo
  • Home
  • Firm Profile
  • Practice Areas
    • Arbitration
    • Banking And Finance
    • Competition Law
    • Contract Law
    • Corporate & Commercial Law
    • Criminal Law
    • E-Commerce Law
    • Employment Law
    • Family Law
    • Intellectual Property
    • International Tax Planning
    • Litigation
    • Maritime Law
    • Property Law
    • Trusts And Succession
  • Legal Articles
  • Contact Us
logologologo

Contact Us

logologologo

Contact Us

logologologo
  • Home
  • Firm Profile
  • Practice Areas
    • Arbitration
    • Banking And Finance
    • Competition Law
    • Contract Law
    • Corporate & Commercial Law
    • Criminal Law
    • E-Commerce Law
    • Employment Law
    • Family Law
    • Intellectual Property
    • International Tax Planning
    • Litigation
    • Maritime Law
    • Property Law
    • Trusts And Succession
  • Legal Articles
  • Contact Us
  • Home
  • Firm Profile
  • Practice Areas
    • Arbitration
    • Banking And Finance
    • Competition Law
    • Contract Law
    • Corporate & Commercial Law
    • Criminal Law
    • E-Commerce Law
    • Employment Law
    • Family Law
    • Intellectual Property
    • International Tax Planning
    • Litigation
    • Maritime Law
    • Property Law
    • Trusts And Succession
  • Legal Articles
  • Contact Us
  • Home
  • Firm Profile
  • Practice Areas
    • Arbitration
    • Banking And Finance
    • Competition Law
    • Contract Law
    • Corporate & Commercial Law
    • Criminal Law
    • E-Commerce Law
    • Employment Law
    • Family Law
    • Intellectual Property
    • International Tax Planning
    • Litigation
    • Maritime Law
    • Property Law
    • Trusts And Succession
  • Legal Articles
  • Contact Us

Standard Terms and Conditions of Business

July 19, 2012 by Michael Chambers & Co LLC Banking and Finance, Corporate and Commercial Law, Cyprus Lawyers, Legal Articles
Home | Banking and Finance | Standard Terms and Conditions of Business

Any business that regularly enters into terms (for example for the sale or purchase of goods) that are often the same or similar can benefit from creating its own standard terms of business. Standard terms are a set of terms that a business can use to govern its relationship with all of its clients.

The Benefits of Standard Terms

The benefits of having a standard set of terms are:

  • Lower costs of entering into agreements (reduced negotiation and drafting time);
  • Predictability of terms;
  • Sophisticated transactions can be dealt with at a lower authorization level within the business;
  • Heightened familiarity with terms;
  • Speedy negotiation process with new and existing clients;
  • Reduced risk of dispute.

Incorporating Terms

If your business has standard terms drafted, it is crucial to ensure that such terms are properly incorporated into the agreement with another party. Incorporation of terms has given rise to a large number of commercial disputes and must be carefully considered, giving particular attention to: the timing of entering into the standard terms; whether standard terms are signed; and the manner in which the standard terms have been introduced and brought to the attention of the other party.

Battle of the Forms

Where two businesses each have their own standard terms, problems may occur in determining whose standard terms will prevail, this is known as the “battle of the forms”. A business can take steps in order to avoid losing the so-called battle by:

  • Inserting a clause in its terms of business to the effect that their terms will prevail;
  • Taking care when returning any written documentation to any potential contracting party in order to avoid unwitting acceptance of their terms;
  • Avoiding responding to the terms of another business without referring to and sending a copy of its own terms back again in reply.

Types of Standard Terms

The standard terms required by each business will vary according to the type of operations that the business undertakes. Different businesses will have different requirements:

  • Some businesses may need different standard terms for supply and for receipt of goods or services;
  • Different terms may also be used according to whether the contracting party is a consumer or a non consumer;
  • Different standard terms may also be used to govern each of the different types of contractual relationships with different types of party that the business enters into.

Requirements for Standard Terms

In order to comply with consumer protection regulations, standard terms must be drafted reasonably with care taken regarding the manner in which they are drawn to the attention of the other party. Terms should be clear and unambiguous and will usually (in the least) address all of the common matters covered in a commercial trading contract such as: obligations of the parties; non performance; risk; payment; delivery; quality of service and goods, security; limitation of liability and dispute resolution mechanisms.

Conclusion

When drafted and incorporated properly into the business relationship between two parties, standard terms and conditions of business can prove a highly effective way to cut costs and to ensure familiarity with and consistency between contracts entered into by a business. Great care should be taken to ensure any such terms are fair and reasonable and that (in a battle of the forms situation) every opportunity is given for your businesses terms to prevail.

Michael Chambers & Co. LLC’s team of commercial contracts lawyers is able to assist business clients in drafting standard terms of business in order to streamline operations. Advice and support can be given in terms of the contents of such terms, negotiation process with clients and ensuring that your terms prevail in a battle of the forms situation. If you wish to speak to one of our commercial contracts lawyers, please contact us.

Share

Related Posts

Obtaining a Cryptocurrency & Crypto Exchange License in Cyprus
Banking and FinanceCyprus LawyersLatest ArticlesLegal ArticlesApril 21, 2022

Obtaining a Cryptocurrency & Crypto Exchange License in Cyprus

What is Cyprus Security and Exchange Commision (CySEC)  CySEC is the anti-money laundering and counter-terrorist financing (AML/CFT) supervisor for crypto-asset operations undertaken in or...

View More
Forex Scams and how to deal with them
Banking and FinanceCyprus LawyersE-Commerce LawLatest ArticlesLegal ArticlesLitigationJune 7, 2021

Forex Scams and how to deal with them

Foreign Exchange (Forex) trading is the conversion of one currency into another for either practical purposes or for gaining profits. Forex trading has developed into the largest trading market in the...

View More
Previous Post
Next Post

Practice Areas

  • Arbitration
  • Banking And Finance
  • Competition Law
  • Contract Law
  • Corporate & Commercial Law
  • Criminal Law
  • E-Commerce Law
  • Employment Law
  • Family Law
  • Intellectual Property
  • International Tax Planning
  • Litigation
  • Maritime Law
  • Property Law
  • Trusts And Succession

Legal Articles

  • Obtaining a Cryptocurrency & Crypto Exchange License in Cyprus
  • Forex Scams and how to deal with them
  • New Amendment on Real Estate Agreements
  • Cross-Border Divorce in Cyprus
  • Liquidation Process in Cyprus

Currently Viewing

Michael Chambers & Co LLC > Banking and Finance > Standard Terms and Conditions of Business

Quick Links

  • Home
  • Law Firm Profile
  • Practice Areas
  • Legal Articles
  • Contact Us

Areas of Practice

  • Banking And Finance
  • Competition Law
  • Contract Law
  • Corporate & Commercial Law
  • Criminal Law
  • E-Commerce Law
  • Employment Law

 

  • Family Law
  • Intellectual Property
  • International Tax Planning
  • Litigation
  • Maritime Law
  • Property Law
  • Trusts And Succession

Topics of Interest

  • Administration of Estates
  • Cross-Border Divorce & Division of Assets
  • Cyprus Company Formation
  • No Win No Fee Service
  • Road Accidents in Cyprus
  • Title Deeds & Property
  • Gaming Licence
  • Forex Scams

Search

HEAD OFFICE 25 Voukourestiou Street, Neptune House, 1st Floor, Suite 11 Limassol, Cyprus, CY – 3045

info@chambers.law

+357 25 81 99 66

+357 25 81 99 60

Michael Chambers & Co LLC is a lawyer's limited company regulated by the Cyprus Bar Association Reg, No. 363

Contact us

Privacy Policy | Copyright © 1997 - 2022 Michael Chambers & Co LLC, All Rights Reserved.