To make a business contract enforceable in Claremore, there are requirements it must meet. Whether you’re forming a new partnership, hiring an independent contractor, or entering into a service agreement, a well-drafted contract is essential to protecting your business interests. But in Oklahoma, simply writing out an agreement isn’t enough—you need to ensure the contract is legally enforceable. An unenforceable contract can leave you with no legal remedy if the other party breaches the agreement.
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1. Create a Valid Offer and Acceptance
An enforceable business contract begins with a clear offer by one party and acceptance by the other. The offer must include definite terms, such as the scope of work, pricing, deadlines, or deliverables, so the other party can accept it with certainty. Acceptance must be unequivocal; if the party changes any terms, it’s a counteroffer, not acceptance.
Example: If you offer to pay a contractor $5,000 for a specific job to be completed by a certain date, and they accept without modifying the terms, you have mutual agreement.
2. Ensure Consideration Exists
Oklahoma law requires consideration—something of value exchanged between the parties—for a contract to be enforceable. Consideration can be money, goods, services, promises, or even forbearance (the act of refraining from doing something).
If only one party receives a benefit and the other receives nothing, the contract may be considered a gift promise, which Oklahoma courts will not enforce.
3. Use Clear, Unambiguous Language
Courts in Oklahoma interpret contracts based on the plain meaning of the language used, so to avoid disputes and increase enforceability, draft contracts using clear, specific, and consistent terms. Language like “as soon as possible” or “reasonable amount,” should not be used unless you define what those terms mean.
4. Comply with Oklahoma’s Statute of Frauds
Under Oklahoma’s Statute of Frauds, certain contracts must be in writing to be enforceable. These include:
- Contracts that parties cannot perform within one year
- Contracts for the sale of goods over $500 (under the Uniform Commercial Code)
- Real estate agreements, including leases longer than one year
- Promises to pay someone else’s debt
Failing to reduce these agreements to writing can result in the contract being unenforceable in court.
5. Include Essential Terms
An enforceable contract in Oklahoma should include at least the following:
- Names of all parties involved
- Description of the services or goods exchanged
- Payment terms and due dates
- Duration of the agreement
- Termination or cancellation provisions
- Dispute resolution methods (mediation, arbitration, or court jurisdiction)
- Signature and date lines for all parties
While Oklahoma recognizes both written and oral contracts, a signed written agreement is far easier to prove and enforce.
6. Avoid Illegal or Unconscionable Terms
No court will enforce a contract that requires either party to perform an illegal act, such as fraud, price fixing, or violating licensing laws. Additionally, courts may refuse to enforce terms that are grossly unfair or exploit one party—this is known as an unconscionable contract. To ensure enforceability, make sure your contract complies with all relevant laws and treats both parties fairly.
7. Include Integration and Modification Clauses
To avoid confusion, use an integration clause that states the written contract represents the entire agreement between the parties. This prevents either party from claiming additional verbal agreements were part of the deal.
Also include a modification clause stating that any changes must be made in writing and signed by both parties.
8. Execute the Contract Properly
All parties must sign the contract for it to be enforceable. While Oklahoma doesn’t generally require notarization, notarizing the signatures can add an extra layer of authenticity—especially in high-value or long-term agreements.
Also ensure that each party receives a copy of the fully executed contract.
Claremore Business Attorneys Here For You
Whether you’re making a business contract enforceable, launching a new venture or updating your business documents, our team can help you protect your legal and financial interests. Our Rogers County business attorneys navigate the legal process and work towards the best outcome for your family. For a free consultation with an attorney at Kania Law – Claremore attorneys‘ law office, call 918-379-4872. Or you can click here to ask a free online legal question.
