A contract is not a formality that follows a deal. It is the deal, in the only form a court will look at.
1. Payment terms
Not just the amount — when payment falls due, what triggers it, what happens on late payment, and whether interest runs. "Payable on completion" without a definition of completion is an invitation to argue.
2. Scope and variation
What exactly is being supplied, and what happens when the client asks for more. If variations are not required to be in writing, you will be delivering them for free.
3. Termination
Who can end it, on what notice, and what is owed for work already done. A contract that can be terminated at will by one side only is a contract with one party in it.
4. Liability and indemnity
An unlimited indemnity in a small contract can outlive the business that signed it. Look for a cap tied to the contract value and an exclusion for indirect loss.
5. Dispute resolution and governing law
Where a dispute is heard decides how much it costs. Arbitration is private and often faster, but it is not cheap. Name the seat, the law and the language.
Signing
Check that the person signing has authority, that the entity named is the entity you are dealing with, and that the company's registered details match. Sign every page, and keep an original.
General information, not legal advice on your matter.
Published by Jasmeet Mayodi & Company. This article is general information about the law in Kenya. It is not advice on your matter and does not create an advocate–client relationship. For advice on your own situation, contact the office on 0780 816 422.
