When a Contract Becomes Interpreted in Two Conflicting Ways

  in  Start-Ups
A contract stipulates terms and conditions that you have agreed to. It gives both parties rights and responsibilities. On a typical day, nobody will focus on such contracts as they go about their daily business activities. However, when a dispute arises, that's when the parties involved in the dispute pay close attention to the terms and conditions they signed up to. One party may feel agrieved that they have been mistreated in some way by the other party. They may cite the contract they signed up to as proof of breach of contract. Quite often in these situations, nobody quite knows the ramifications of said contract. Contract law can be complicated in these situations as both parties may interpret one sentence in the contract in radically opposing ways. This nuance of interpretation often means a deadlock is reached, with neither party willing to compromise. It's in these situations, that some kind of professional help is required - who can back up their assertions with case law (very important!) - to break the deadlock.

Litigation dispute resolution often only comes from solicitors who can articulate the law well, using case law as examples where the law has been appropriately appled to settle such disputes. Of course, one party may not be satisfied no matter how professionally the case has been made, and the dispute may be taken further to a tribunal. If that does happen, then it's wise for both parties to be represented by solicitors who know the law well. Having said that, quite often you'll find that it doesn't go that far - that actually it's just a misinterpretation / misunderstanding that leads to such a dispute in the first place. When contract law is clearly explained, quite often a resolution can be found that doesn't require a judge at a tribunal to decide anything.