Differentiating Between Balanced and One-Sided Agreements
SaaS agreements are moving from being one-sided to being more balanced.
Why is this the case? Companies are learning that, regardless of the language they use, the contracts invariably return to the middle. All lawyers can employ tricks in the wording of contracts. But if they’re discovered, that is going to severely hamper the customer-buyer relationship.
Contract negotiations have a tendency to balance themselves organically. When you send out an agreement that’s unbalanced to one side, the opposing side will likely try to achieve a balance. During the creation process, neither party will accept the terms of a contract if they’re deemed unfair. And technology trends have made companies like IBM and other prominent businesses more apt to – off the bat – offer up a fair contract.
As with any other component of technology and law, your results may vary. But as far as a company strategy goes, it never hurts to treat others like you want to be treated. For more information on balancing agreements, watch the video from OpenView Labs featuring Jeremy Aber.
Greg Storey, InVision’s Senior Director of Executive Programs, on standups and standing, evening escape plans and killing elephants.