I come from a structural engineering and general contracting (earthworks & real estate) world that is littered with contracts for everything you are required to do from a legal standpoint. For the most part after this, contracts are never talked about again, but they can be used as needed. Here is a shortlist of some things that should be covered in a basic contract;
- Scope
- Term
- Personnel
- Licenses / Permits / Insurance
- Confidentiality
- Damages
- Health & Safety
- Warranty
- Termination
- Invoicing & Financials
There are a lot of times where contracts are needed. On larger projects a CCDC contract will cover everything you need, otherwise, you should have something in terms of writing for your product or service. No one likes to go back to contracts, but they help in times of need or litigation.
A handshake can get it done, still today, but they are very rare. It is difficult to trust others, especially in the form of hired help. Our gauge around deciding if a handshake covers the scope of work to be completed is through trust and multiple conversations. When you understand the intent of a person and have talked to many others around you about their history of staying true to their word, should you consider going off of a handshake deal? Our simplest way to say it is, proceed with caution!