Is the handshake legally binding or not as part of an agreement? At Artius Man, we believe in the honor of a gentleman-manshak, and we treat everyone with respect and give you our word. Here, too, contract law varies from state to state. To determine whether an oral contract or specific impact contract can be applied, you should consult a lawyer who is familiar with the contractual law of the state in which you live. The reason you don`t own the logo is because the transfer of intellectual property rights is one of the few specific situations in which an oral agreement is not binding, even if the five essential elements are in place. (Other examples for which a contract must be entered into in writing are when you buy or sell shares in a company or give a guarantee.) As a general rule, the law does not require that most agreements be reduced to writing to be enforceable. An oral contract or handshake agreement may be applicable in the same way as a written contract. Verbal or handshake agreements are subject to the same contractual principles as those applicable to written contracts. If the designer used standard written conditions defining all the details of how he intends to provide the service, these problems would be avoided. We would have the security we need and there is no doubt that a legally binding agreement has been reached.
I may be a little younger in years, but I remember when a “Handshake and a Promise” deal meant something. Perhaps part of my confidence in the word of another comes from my roots in the small Mississippi town. Yet in today`s economy, your business will need much more than a handshake if you want to get paid. Fortunately, only a few hours spent with a serious lawyer can present you with a solid contract based on solid conditions that saves you time, stress and money, a client should try to stiffen you on the line. If developing long years of customer relationships is important, don`t forget to protect yourself and your business. Shake hands with your client and exchange a promise to honour the contract, but also take a few hours with your lawyer to write a “gentleman`s agreement.” The terms and conditions of your business can and should be largely the norm for each contract, so it will not be a common legal fee. On the contrary, it will assure you knowing that if an agreement does not go as planned, you have a contract to protect your business.