Here are two examples of contractual provisions that just made me chuckle:
The first is from an asset purchase agreement.
It’s not unusual for contracts to provide that the death of a key person will be a default. But how many allow that particular default to be cured?
Buyer shall be in default under the terms of this Agreement and the entire unpaid balance and any accrued interest shall be immediately due and payable upon the occurrence of the … death or permanent disability of [the principal]….
All of the above default events … are subject to … the failure … to remedy the default event within 20 days of the date notice is given….
Twenty days seems awfully generous; Lazarus was brought back in four.
The second is from a service agreement. Apparently the drafter just couldn’t make up their mind.
[Company] does not require that any of our clients sign contracts or agreements upon retaining our services….
I accept these terms of service.
I’m trying to get this straight. I have to sign the agreement to acknowledge that I don’t have to sign the agreement?
It’s all good, man.