Sound Management of Business Contracts

2019-07-19 11:10:43

Contracts are ubiquitous in the market economy. In the full lifecycle of an enterprise and in all of its business activities, it needs to conclude various contracts. In the final analysis, the enterprise itself is the product of contract. Enterprises are for-profit entities, and their profits are obtained on the basis of contracts. Given such importance of contracts, enterprises must pay due attention to them. But many enterprises ignore the contract compliance management. Usually only when disputes arise will an enterprise search the contracts concerned and they will find many problems in such contracts: a contract is not renewed after its term expires; the counterparty fails to affix signature and seal on the contract; the original of the contract has nor been kept; in some cases, even the contract is lost. Given that contracts are material evidence with timeliness and their content and form must be standardized, we suggest that an enterprise should designate dedicated personnel to manage contracts.

In this area, we can provide clients with the following services, including but not limited to:

1.             Provide enterprises with standard form business contracts;

2.             Designate a dedicated person to manage and keep contracts;

3.             Timely follow up the performance of contracts and remind enterprises of performing contracts in good time and renewing                   contract upon their expiration;

4.             Formulate the rules and procedures on the borrowing, lending, and copying of contracts for enterprises;

5.             Formulate the contract review and approval procedures for enterprises;

6.             Dispose of contracts that have been performed.




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