What is a contract and why is it important?

Jan 29, 2025 | Uncategorized

A contract is a legal agreement between two or more parties, through which rights, duties and obligations are established that must be fulfilled. There are different types of contracts, such as employment, sale, service and lease contracts. In Quito, it is common for companies, entrepreneurs and individuals to need to sign contracts to formalize agreements. However, it is important that these documents are properly drafted and comply with Ecuadorian laws.

A poorly drafted or ambiguous contract can lead to misunderstandings, breaches, and even legal disputes. For this reason, it is essential to have the support of a lawyer specialising in contracts, who can review, draft and advise you on the most appropriate clauses according to your needs.

Some key points that a contract should include are:

 

  • Identification of the parties involved.
  • Object of the contract (what is being agreed).
  • Terms and conditions.
  • Rights and obligations of each party.
  • Consequences in case of non-compliance.

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