Contract & Procurement: Legal Issues for Purchasing Professionals

This report provides an analysis of the importance of legal issues in contracts for purchasing professionals. It emphasizes that a contract is a legally binding agreement, necessitating the expertise of legal personnel for drafting and interpretation. The report explains the potential consequences of not understanding legal issues, such as breach of contract and associated damages. It highlights the need for legal professionals to ensure the accuracy and precision of contract terms, protecting the rights of all parties involved. The conclusion underscores the significance of legal understanding in the contract process, ensuring that contracts are enforceable by law and that parties can seek justice in case of a breach.

Running head: CONTRACT LAW
CONTRACT LAW
Name of the Student
Name of the University
Author Note

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Purpose of purchasing professionals to understand legal issues in a contract
A contract is considered to be an agreement which is binding in nature and it is
considered to be enforced by law. The contract is considered to be statutory which needs the
assistance of a legal personnel or a professional person who would be considered to be an expert
in this field and would have sufficient knowledge in order to guide the parties who are subjected
to a contract (Stone 2016). A legal personnel is considered to be necessary as the legal language
of the contract needs to be specified and needs to be used while drafting of such document. In
order to protect the parties against any kind of breach a legal personnel needs to be appointed
who would assist the parties and guide them through the procedures which are involved in
making the contract valid and help in fulfilling the promises which have been made in the
contract in order to avoid any breach. Therefore, it is essential to appoint a legal representative
for addressing the legal issues in the contract because they would have a good understanding of
those issues (Knapp, Crystal and Prince 2019).
Potential consequences for not understanding legal issues
A contract is considered to be a legal document which is binding on parties who have
entered into an agreement. Therefore, the conditions which have been laid down if they are not
fulfilled by the parties to the contract would be considered to have committed a breach of
contract and thus have to face the consequences (Zagenczyk, et al., 2015). In order to understand
the terms and conditions laid down in the contract and the consequences which would be implied
on the parties if the conditions laid down in the contract are not fulfilled it needs to be drafted by
a legal professional and such professional would be considered to provide a brief understanding
on the subject to such terms and conditions laid down in the contract. If there has been a breach

2CONTRACT LAW
in the terms of the contract then the party has to be able to compensate for the damages which
were caused to the other party for such non fulfilment of the conditions laid down in the contract
(Johnson and Sohi 2016).
Conclusion
Therefore, from the above discussion, it can be understood that a contract is considered to
be an agreement which is considered to be enforceable by law. The terms and conditions which
are laid down in the contract are considered to be precise and accurate and the parties who are
subjected to such contract are considered to fulfil the conditions laid down in the contract. It is
considered and essential for a legal personnel or a professional to be present while the execution
of the contract as it is considered to be a part of the legal system it needs to be drafted in such a
way which would be accurate and precise which would assist and protect the rights of the parties
for any kind of violation or breach if such breach happens would be able to seek justice in the
court of law for such breach.

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References
Johnson, J.S. and Sohi, R.S., 2016. Understanding and resolving major contractual breaches in
buyer–seller relationships: a grounded theory approach. Journal of the Academy of Marketing
Science, 44(2), pp.185-205.
Knapp, C.L., Crystal, N.M. and Prince, H.G., 2019. Problems in Contract Law: cases and
materials. Aspen Publishers.
Stone, R., 2016. Economic analysis of contract law from the internal point of view. Colum. L.
Rev., 116, p.2005.
Zagenczyk, T.J., Cruz, K.S., Cheung, J.H., Scott, K.L., Kiewitz, C. and Galloway, B., 2015. The
moderating effect of power distance on employee responses to psychological contract breach.
European Journal of Work and Organizational Psychology, 24(6), pp.853-865.