Most contract disputes we see aren't caused by bad faith — they're caused by a clause nobody thought to include, because the relationship started on trust and a template downloaded in five minutes. By the time trust runs out, the contract is the only thing left to rely on, and it usually isn't specific enough to help.
Founder and shareholder agreements: vesting and exit terms
Early-stage founder agreements frequently skip vesting schedules and clear exit terms, on the assumption that co-founders won't need them. When a co-founder leaves eighteen months in, the absence of a vesting clause turns a personnel decision into an equity dispute that can stall fundraising entirely.
Vendor and service agreements: scope and termination
Vague scope-of-work language is the single most common cause of vendor disputes. "Ongoing support as required" means something different to each party the moment a disagreement starts. Clear deliverables, timelines, and a defined termination process — including what happens to work-in-progress and data — prevent most of these disputes before they start.
- Define deliverables and acceptance criteria specifically, not generally
- Include a termination clause covering both convenience and cause, with notice periods
- Address IP ownership and data handling explicitly, especially for technology vendors
Employment contracts: what verbal promises don't cover
Verbal commitments made during hiring — a bonus structure, a review timeline, a remote-work arrangement — carry no weight if they're not reflected in the signed offer letter or employment contract. When a dispute arises, only the written terms are enforceable, regardless of what was discussed in the interview.
NDAs and confidentiality: scope matters more than length
A long NDA isn't necessarily a strong one. What matters is whether the definition of confidential information is specific enough to be enforceable, and whether the term length and carve-outs (for information already public, or independently developed) are reasonable enough that a court would actually uphold them.