Contract Law

[amidoingthisright]

Does anyone have any details for a good solicitor who would be able to offer a quick consultation / glance over of a contract please?

As a brief background it relates to the a personal guarantee on a contract for software services on a insolvent business - not something I’d ever heard of in this co text to be honest and something which I was surprised to learn about. For leases or loans, yes but for what is akin to software - are these common place?

I don’t want to go to much into the details on a open forum but if anyone could offer any advice I’d be very grateful and happy to share details over in private.

Thanks

[rdjohn]

I am not a lawyer.

However my experience is that a good contract needs to be drafted so that it is effectively self-enforcing. If any aspect is ambiguous and so needs a lawyer to interpret it, then the other party will employ another lawyer to argue the case against. If it goes to court, then everyone loses.

A personal guarantee from someone who is insolvent is not much of a guarantee. An amicable direct discussion with the person who offered the guarantee will possibly provide the best outcome.

[StevieBee]

amidoingthisright said:

contract for software services on a insolvent business - not something I’d ever heard of in this co text to be honest and something which I was surprised to learn about. For leases or loans, yes but for what is akin to software - are these common place?

Another 'I'm not a lawyer, but' response, but.... I do have a little insight that may help.

A contract of personal guarantee should, in theory, be unaffected by the insolvency of the business because you are engaging with an individual who will paying you themselves.

That being the case, any competent lawyer with experience in contract law (which is most of them), should be able to help you.

However, the fact that you have mentioned this is in relation to an insolvent business raises a red-flag you'd do well to explore.

I'm assuming that the person you are seeking a contract with is the owner of the business that is insolvent and that the software is required to operate the business whilst in administration in order that any losses to creditors is minimised - or to enable efficient and transparent administration of the closure of the business. If that is the case then a question to ask is why the insolvency practitioner not engaging you because it is they that have full control over the business, not the owner. Why would the owner be spending more of their personal money on a company that is in administration? There may be good reason but I would be asking the question none the less and would suggest that a metric by which you may measure the thoroughness of any lawyer you are considering appointing may be them asking this same question.