The Duty to Read and To Disclose

Question 1

What is the rule for Duty to Read?

Answer 1

A person who signs a contract has a duty to read and understand it, “in absence of fraud, one who signs a written agreement is bound by the terms whether he read and understood it or not, and whether he can read or not.”

Question 2

What happens if a party drafts a difficult to read and understand contract?

Answer 2

Courts will deny enforcement against a party who drafts a contract that is difficult to understand or uses vague terms, to the effect that the person reading it does not understand what they are about to sign.

Question 3

What is a forum selection clause?

Answer 3

Provision defining what jurisdiction an action can be brought if suit is brought against a certain company or person.