Importance of Boilerplate Clauses: Doc

Boilerplate Clauses

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Importance of Boilerplate Clauses...............................................................................................3
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Boilerplate Clauses are the part of the legal contract and appear in the end of a contract.
Some times these clauses are explained as miscellaneous clauses. These clauses are the
standardized part of the contract. These clauses are not discussed at the time of the contract but
these are provided as contract in the but no negotiation needed for these clauses. These clauses
are simple and not sensitive commercial contract. Because these are not that much sensitive for
the contract so these clauses are often overlooked. Boiler clauses are not that much sensitive as
the contract but they are considered for valuable purpose (Chow, 2017). Boilerplate clauses
explains the relation between the contracting parties. These clauses define the importance and
relation between the contract parties in the better way. In the contract these clauses plays main
role in condition between the contractor parties.
MAIN BODY
Meaning of Boilerplate clause
The word boilerplate is from 1890. the plates which are used to print or stamp in the
printing press to print newspaper and posters. This steel plates are thick as the body plates of the
steam boiler so this plates are named as boilerplate. Then in the legal contract this term was
adopted for the legal contracts. These terms are included in the contract without thinking about
the result of this boilerplate in the commercial contracts. The boilerplate should have given the
importance as the other part of the contract. The boilerplate are also used to ensure the both
parties full fill the terms and condition of the contract. The ignorance of this boilerplate can lead
to further misunderstanding between the contractor parties (Choi, Gulati and Scott, 2017).
The role of boiler plate in the legal contract is to ensure the cooperation of both parties.
The terms and condition copy is given to the authority to insure the implementation of the
policies written in the contract. When someone is the part of the contract and it is important for
them to follow the terms and condition given in the contract. Otherwise, the other party can take
legal action against first party. These clauses are usually in the last part of the agreement and
normally ignored. But it is important to known this boilerplate to get the details of the legal
contract. The parties have more concern about the main part of the contract which are given in
the main and top part of the legal contract. The boiler plates are used to save the time of legal
authority and both parties. The boilerplate are used to cover the normal and general points of the
contract which are common in all kind of contracts. The contractor parties makes this contract
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with the help of the lawyer. This is the duty of the lawyer to make their clients aware of the legal
contract alongside the boilerplate clauses (Weisbord and Horton 2017).
Types of boilerplate clause
There are different types of the boiler plates used for different type of contracts.
Force Majeure
These clauses prevent the influence of the external incidents on the agreement and
stopping them to perform the contract. Some incidents affect the contract clauses and this can
prevent the action which are written in the contract. This type of the boilerplate prevent the
contract parties to be liable for the external occurrence which can affect the working of contract.
Amendment
This kind of Boilerplate clauses support the both contracting parties by providing them
right to make changes according to the situation. Some times in the legal contract the term and
conditions needs to be chance as per the situation. This situation can prevent the action of the
parties legally (Feldman, 2018). These clauses entitled the parties to make some changes in the
contract. The contracts are flexible to make changes as per the external conditions which are not
constant. With the cooperation of both parties the needed changes are made in the contract.
Entire Agreement
It an important part of the boilerplate clauses. These clauses provide the limitation to the
parties and prevent some action of the contracting parties. These clauses give the limited rights
and obligation. Through this the parties can't claim to reliance on some acts, statements and
discussion of any of the body of the contract. This helps the contracting parties to rely on the
provision and actions written in the contract. The promises made out of the agreement and legal
contract can't be relied. The agreements made out of the legal contract like E-mail or formal
communication will not be considered as legal part of contract and the governing authorities will
not consider these promises and agreement made out of the legal deal (Horton and Weisbord,
2017).
Law and Jurisdiction
In this clause the information is given about the country or the legal body who holds the
power to protect or govern the contract. If any kind of occurrence or accident which are creating
the conflict between the parties which are part of the contract, these clauses explains the
governing bodies can look after the contract and solve the conflict by hearing the both side.
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These authorities are liable to protect the contract and will responsible to solve or hear the
conflict with in the contract.
Notices
These clauses provide agreement to the contracting parties to maintain the
communication between the parties. This ensure the communication of the terms and conditions
with in the contract.
Importance of Boilerplate Clauses
The boilerplate clauses are the important term and condition which are the part of the
legal contract but these clauses are ignored by the parties because the information and rules
provided in this boilerplate clauses are general norms (Oman, 2017). The parties accept these
clauses without reading them. As the different type of boilerplate clauses are explained above
provide the important information of rights and limitation of the contract. These clauses can help
the both parties by providing general guidance of the contract.
Save Time
Boilerplate clauses save the time of the both parties and authority. These clauses are
common in the all legal contracts. So these clauses are already exist on the legal contracts. All
the members normally agreed to this clauses so they don't need to be considered in the legal
discussion.
Reduce Conflicts
These clauses can be used to reduced the conflicts in the legal contracts. This allows the
parties to make the changes in the contract which are needed to implement in contract after the
contract signing. This can reduce the conflict in both parties.
Give Brief of legal contract
Boilerplate clauses informs the parties about important rules and regulation which are
need to be followed. This can help both contracting parties to perform actions with in the legal
criterion.
Explains Terms and Condition of Contract
Boilerplate clauses gives the information of the extra rules and regulation which are part
of legal contract and not that important to mention during the contract signing. This rules can
help the contractor parties to follow the legal regulation while working in the contract.
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CONCLUSION
This report is concluding the importance of the Boilerplate Clauses which are mentioned
in the bottom of the contracts which are signed by the parties. The different information carrying
clauses gives the importance of considering these clauses while signing the contract.
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REFERENCES
Books and Journals
Choi, S.J., Gulati, M. and Scott, R.E., 2017. Variation in Boilerplate: Rational Design or
Random Mutation?. American Law and Economics Review. 20(1). pp.1-45.
Chow, D.C., 2017. The Costly Problem of Poorly Drafted Choice of Law Clauses. Wash. L. Rev.
Online. 92. p.50.
Feldman, R., 2018. Black Holes and Boilerplate in M&A Practice.
Horton, D. and Weisbord, R.K., 2017. Boilerplate and Default Rules in Wills Law: An Empirical
Analysis.
Oman, N.B., 2017. Reconsidering Contractual Consent: Why We Shouldn't Worry Too Much
about Boilerplate and Other Puzzles. Brook. L. Rev.. 83. p.215.
Weisbord, R.K. and Horton, D., 2017. Boilerplate and Default Rules in Wills Law: An Empirical
Analysis. Iowa L. Rev.. 103. p.663.
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