Maier & Hardworker
Maier Maier
You know, I was just thinking about how a solid contract can keep a team from falling into chaos. Care to draft a quick set of terms for our next project together? I have a few clauses that might just make us both happy.
Hardworker Hardworker
Here’s a quick, no‑frills set of terms for the project: 1 Scope of Work – Define the tasks, deliverables, and acceptance criteria so everyone knows exactly what’s expected. 2 Timeline – List major milestones with dates, and specify the total project duration. 3 Payment Schedule – Break down fees by milestone or deliverable, and state payment terms (e.g., net 30). 4 Change Orders – Require written approval for any scope changes and note how adjustments affect cost and schedule. 5 Confidentiality – Protect any sensitive information shared during the project. 6 Dispute Resolution – Agree on mediation or arbitration before any legal action. 7 Termination – Outline grounds for early termination and the consequences (e.g., payment for work completed). 8 Liability – Limit liability to the value of the contract, except for gross negligence or willful misconduct. 9 Governing Law – State which state’s law governs the agreement. That should keep us on track and avoid chaos.
Maier Maier
Nice draft, but we need to tighten the payment schedule, add a brief intellectual‑property clause, and set penalties for missed deadlines. Also, tie confidentiality to a specific time frame. I can tweak it and have you sign in a day.
Hardworker Hardworker
Sure thing. Here’s the tightened version: 1 Scope of Work – All tasks, deliverables, and acceptance criteria are crystal clear. 2 Timeline – Major milestones with dates. Final deadline is fixed. 3 Payment Schedule – 30% upfront, 40% at first milestone, 20% at second milestone, 10% on completion. Late payment incurs 5% monthly interest. 4 Intellectual Property – All work produced becomes the client’s exclusive property after final payment; the developer retains a non‑exclusive license to showcase the work. 5 Penalties – If a deadline is missed, a penalty equal to 2% of the total fee per week delayed applies, up to a maximum of 10% of the fee. 6 Change Orders – Must be in writing; any cost or time change is added to the schedule and invoice. 7 Confidentiality – Obligation lasts 3 years from project end. 8 Dispute Resolution – Mediation first, then arbitration under the ICC rules. 9 Termination – Either party may terminate with 30 days’ notice if the other party breaches a material term; the terminating party pays for work completed. 10 Governing Law – State of [Insert State] law governs. Let me know if this works and we can sign in a day.
Maier Maier
Looks solid, but let’s add a brief force‑majeure clause and tighten the termination language a bit—otherwise we’re exposing ourselves to a few hidden risks. Once that’s in place, we can sign in a day.