Contracts Creation and Management

When the contract formation is achieved all parties involved should be in complete understanding of what is written. In a perfect world there would be no room for interpretation but this does not exist. The foundation of a contract is always agreement and consideration. Combining these elements along with the legal relations and communication will ensure a deal that will benefits all parties.

Under the agreement the negotiations will settle the deal. While working through the negotiating process the laws will need to be agreed upon, once this is completed the process is over. There can be finality made. Consideration is a give and take process. All parties will not agree on everything but when considering the outcome and with compromise there can be an agreement that can ensure the best process to finish this deal.

The contract in the simulation should have been administered more thoroughly. There was too much miscommunication and misunderstanding on the end results. C.S. continued to ask for different aspects of the software while Span was trying to work to meet deadlines. The product should have been agreed upon in the contract before work began. C.S. should not be changing the product without considering that this will delay and cause Span to take longer to work this product. This is something that Span should consider when working contracts in the future with C.S. and other organizations.

Contracts do leave room for interpretation which can cause issues if there are either too many players in the project or if the players change too often. Within a project the members or team should stay the same throughout the entire process. The project managers on both sides should be involved in the contract process so there is a better understanding of what is expected from both parties. There should be a liaison from both companies working the project under the administrative aspect with complete knowledge of the finalized contract.