Orest Hlado
Contracts

Three phrases that signal legal trouble in business

“He's a decent person”, “it's all standard” and “I did it myself online”: why these phrases cost entrepreneurs money and what to do instead.

Orest HladoOrest Hladolawyer, contracts Published 19 October 20263 min read
IN SHORT
  • “He's a decent person”: people don't lie, they remember differently. Write agreements down.
  • “It's all standard”: there are no standard contracts; each was written by one side for itself.
  • “I did it myself online”: these clients come later than anyone, when it's time for rescue.

Want to know whether you'll have legal problems? Listen to how you talk about your business.

There are three phrases after which I can almost certainly tell what a person will come to me with a year later.

Phrase one: “We agreed verbally, he's a decent person”

Decency has nothing to do with it. People don't lie, they just remember differently.

A year passes, each remembers the same conversation in their own favour, and it turns out you'd agreed on different things. And there's nothing to prove how it really was. In cases like this the court doesn't hear witnesses; it reads documents.

What to do instead: write it down. At least a short message after the conversation with the price, deadlines and scope. More on this in the article “But we agreed”: why verbal deals fall apart.

Phrase two: “I signed it, it all looked standard”

There are no standard contracts. Every contract was drafted by one side in its own interest. And if not by you, then not in yours.

It's usually in the text you skimmed that the clause sits which later costs you money:

  • a penalty that applies only to you;
  • the other side's right to terminate at any time without explanation;
  • an auto-renewal nobody remembers;
  • rights to the work product that stay with the contractor.

What to do instead: don't sign a serious document on the day you first see it. I don't do it myself. An hour of contract review is cheaper than any of these mistakes.

I'll check the contract before you sign
I'll show you the risks and give you edits you can send straight to the other side.
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Phrase three: “Why a lawyer, I did it all myself online”

The issue isn't doing it yourself. Many things really can be done on your own: register an LLC through Diia, file a trademark application, download a contract template.

The issue is when a person comes to a lawyer. These clients show up later than anyone: not to set things up, but to rescue them. A competitor registered the mark, the articles won't let you remove a partner, the contract doesn't let you take the code. And rescue is slower, more stressful and more expensive.

What to do instead: doing it yourself is fine, but get advice before, not after. For example, before registering a company, read what the model articles decide.

In short

PhraseWhat's behind itWhat to do
“He's a decent person”No proof of the agreementWrite down price, deadlines, scope
“It's all standard”The contract was written for the other sideCheck it before signing
“I did it myself online”A decision without understanding the consequencesGet advice before, not after

Now be honest: how many of these three phrases have you said while reading?

Frequently asked questions

How quickly do you review a contract?

A typical contract from one day. I name the price and timing as soon as I see the document.

What if the contract is already signed?

Send it to me. Risks can often be closed with a supplementary agreement or properly structured correspondence.

Do you review contracts in English?

Yes. I explain the risks in Ukrainian or English and make edits in the language of the contract.

This article is general in nature and is not legal advice. Every situation has its own nuances.

Orest Hlado
AUTHOR
Orest Hlado
Lawyer in Lviv. For 5+ years I've been helping entrepreneurs, IT companies and foreigners with companies, trademarks, contracts, real estate and residence permits.
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