Often you have heard the phrase “beware of the fine print’ as piece of advice but do you really know what you should be looking out for? It really pays to recognize the contract terms and avoid the ones that can cause major harm. That is why I want to inform you of the few things that you should look out for when reading any contract terms to avoid signing contracts that squarely place you on the losing end. Many companies usually use unclear and confusing phrases to limit your options and to angle their agreements in their favor in a way that you cannot easily recognize and can cause you major harm once you sign. Here are some of the egregious things that you should smoke out when reading the fine print.
Clauses such as “no guarantee of suitability” in consumer agreements should be carefully discussed with the company before you sign the contract. In such clauses the company admits that their services do not really work as advertised but it is not clear on exactly what does not really work. This is common in software and cell phones consumer agreements and thus you should be keen not to buy a product that will not meet your requirements.
Another contract gotcha you should be keen to avoid is where litigations arising out of an agreement are restricted to a specific jurisdiction and venue. The suitability disclaimer might not sideline you from suing the company but you might end up being unable to make a long trip to a specific location to file a case through the legal process. If you find such clauses in the agreement forms you should give it a careful consideration before sealing the deal.
Other clauses that you should really consider are such as arbitration clauses and those relating to your right to jury. At first glance such clauses seem fair but closer look and careful consideration reveals terms that you just cannot consent to. Some may bar you from your right to a court trial or class action in favor of binding arbitration and this could place you to the losing end even when you have a right.
One more clause that you should read closely is the “free trial period”. The phrase lures you that you will get a chance to evaluate the product before risking your money but the period might just be an impossible one. For instance you might find a company giving you only a day to test a security system and cancel the deal where you cannot assess such a system in such a short time. Also the limited time is quite convenient for you to forget canceling the deal and this can really end up being so harmful. Before sealing any deal with your signature just read every part of the agreement carefully to avoid pitfalls that may seem quite fair at first glance.
