Learn more about the importance of a contract review checklist, what needs to be included, and how a mobile app can make your contract review process easier.
Use this contract review checklist template to conduct thorough checks and analyses on the contracts you draw up, assess, and sign. You can also export the template into a contract review checklist PDF so that you have a separate copy on file, or use it directly in SafetyCulture (formerly iAuditor) to maximize the mobile app’s features and functionality. It can be filled out with the following information:
A contract review is a process in which the most important provisions of a legal agreement are identified and assessed before a contract is signed. Reviewing legal documents, such as contracts, is an integral part of the due diligence process. Therefore, a contract review checklist might be helpful in ensuring that there is a documented system of processes, activities, and checks that a party goes through when creating and reviewing contracts.
Since contracts are legal documents, it’s important to ensure that the interests of both parties are protected. This is why contract reviews are conducted to maintain an organized process when reviewing contracts, thus increasing accuracy and time-efficiency.
A contract review checklist will help you:
Your contract review checklist must contain all the necessary details within a contract that need to be checked and addressed prior to sign-off. According to Lexology and Contracts Counsel, a contract review checklist should include the following sections:
Ensure that the clauses and terms used in the contract are clear and appropriate. Thoroughly review the sections on indemnification, dispute resolution, confidentiality, and termination. Keep an eye out for any mistakes or wrongly-used terminology.
To avoid getting locked into an agreement longer than what’s expected, contracts must describe the renewal and termination guidelines. Some agreements also include automatic renewal and opt-out terms to provide more flexibility to both parties. Additionally, ensure that there are established rules on the repercussions should one party fail to notify the other by a certain date.
Contracts that have unclear or biased provisions are more likely to cause disputes and conflicts (i.e., payment delays). This is why it’s important to heed how each line in the contract is worded. Therefore, list down the vague terms and parts to discuss with the other party. Review and revise any confusing terms and jargons without proper context, so that the necessary edits can be made before the actual contract signing.
To protect both parties’ interests, the contract’s default regulations should be in place. With this, check if there are available rules that govern default occurrences. This is crucial in knowing the potential consequences of not fulfilling your obligations and what the legal recourse is if the other party fails to comply.
Dates and schedules help set expectations for both parties, and having these clearly stated in the contract is key to preventing issues with the pacing of deliverables.
It will also help if there are guidelines to follow when there needs to be changes in terms of the deadlines and schedules. Acknowledging that unexpected events are bound to happen allows for flexibility in the contract without compromising the other provisions set therein.
A thorough analysis of a legal, written document such as a contract can be overwhelming, leading to things such as missing out on important details and overlooking errors that could bring potential risks to the parties involved. While technology shouldn’t replace the human part of the review process, it should be used to supplement human efforts. With innovative mobile app solutions like SafetyCulture, you can empower your team members involved in the contract review process by:
This checklist template lets you fill in key sections and information such as customer information, termination policies, price and payment term agreement, and provisions on liability, penalties, insurance, and anti-bribery. You can also incorporate special clauses and other terms such as force majeure/acts of God, performance bonds/bank guarantees, service levels, and Key Performance Indicators (KPIs), among others.
Inspection template Powered byThis template can be used by project/drilling supervisors before commencing on-site work. Also serving as a contract review checklist, this tool provides an opportunity for project teams to plan the drilling operation more efficiently. Hence, supervisors can use this checklist to assess drilling steps and the requirements and tasks that fall under them. Based on your drilling operation type, customize this template to suit your project needs.
Patricia Guevara is a content writer and researcher for SafetyCulture. With her extensive content writing and copywriting experience, she creates high-quality content across a variety of relevant topics. She aims to promote workplace safety, operational excellence, and continuous improvement in her articles. She is passionate about communicating how technology can be used to streamline work processes, empowering companies to realize their business goals.
This checklist template lets you fill in key sections and information such as customer information, termination policies, price and payment term agreement, and provisions on liability, penalties, insurance, and anti-bribery. You can also incorporate special clauses and other terms such as force majeure/acts of God, performance bonds/bank guarantees, service levels, and Key Performance Indicators (KPIs), among others.
This template can be used by project/drilling supervisors before commencing on-site work. Also serving as a contract review checklist, this tool provides an opportunity for project teams to plan the drilling operation more efficiently. Hence, supervisors can use this checklist to assess drilling steps and the requirements and tasks that fall under them. Based on your drilling operation type, customize this template to suit your project needs.
