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Is It Legal For A Contract To Specify That One Party Lies?

Business Law discussions

Is It Legal For A Contract To Specify That One Party Lies?

Postby Ryscford » Wed May 21, 2014 9:15 am

We recent had a long-time independent contractor do something shady and that I'm sure embarrasses him. Attorneys became involved and we now have a document specifying the termination of our relationship.  The document has an anti-disparagement clause that specifies that if the topic of our disassociation ever arises, we must say that it was an "amicable" split and we "wish him the best or something to that effect".  This isn't true.  I really didn't want the anti-disparagement clause and its accompanying dishonesty, but his attorney pressured us into it with the threat of more legal costs.  Question:  Can we be sued for breach if we tell the truth and don't say the split was "amicable" or that "we wish him the best"?  We are not interested in discussing this situation with outsiders and it's more than just annoying to have to lie about this:  if word gets out, which it probably will at some point in the future, we will look dishonest ourselves.

 

Thanks for any comments on this!

 

 
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Is It Legal For A Contract To Specify That One Party Lies?

Postby Caiseal » Thu May 22, 2014 10:10 pm

BigPlan:Can we be sued for breach if we tell the truth and don't say the split was "amicable" or that "we wish him the best"?

Yes.  If it were me I would simply state "I can't or (won't) discuss it" then say nothing more.  Anyone who said that about a soured business relationship would send a red flag up to me.
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Is It Legal For A Contract To Specify That One Party Lies?

Postby Willaburh » Thu Jun 05, 2014 9:53 pm

To begin with, I am unsure who "we" are.  Nevertheless, it's nearly sure that just the individual(s)/organization(ies) who're events towards the contract are destined by it.<br />
 <br />
BigPlan: Can we be prosecuted for break if we inform the reality and do not state the separate was "friendly" or that "we desire him the very best"?<br />
Anybody may prosecute anybody for anything.  I really could prosecute you for sticking completely towards the conditions of the contract.  obviously, I would not gain, but that does not avoid me from suing.  I believe, nevertheless, which you truly meant to request whether "we" might be held responsible for breaking the non-disparagement provision.  the clear answer to that particular issue is yes (though non-disparagement procedures could be challenging to impose since, among other activities, showing problems can be hugely challenging and events frequently neglect to incorporate a fair liquidated damages supply).<br />
Procedures of the kind are very typical in negotiation/launch agreements.  the very best strategy is to maintain your jaws close when the topic actually comes up.  I doubt greatly the contract demands that you simply affirmatively offer the touch concerning the settlement being "friendly" which you're necessary to say that you simply "desire him the best."  It's nearly sure that saying, "the problem was solved independently, and we've nothing further to express," could be completely ok.  Nevertheless, it's clearly difficult for anybody to opine smartly concerning the aftereffect of a deal that people have no capability to study (or atleast with no total and precise estimate of the supply at problem).<br />
Furthermore, when people claim such things as, "the challenge was solved amicably, and we desire [another occasion] best wishes," a person with an ounce of feeling understands the "friendly quality" merely implies that the problem did not visit courtroom or test which both factors truly dislike one another using the a good deal of vitriol.  None however the many naive individual might see an individual who created this type of declaration to be dishonest.
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Is It Legal For A Contract To Specify That One Party Lies?

Postby Galt » Wed Jun 11, 2014 10:29 am

BigPlan:Question:  May we be prosecuted for break if we inform the reality and do not state the separate was "friendly" or that "we desire him the very best"?  <br />
Indeed you could.  you can completely avodi addressing any issue concerning the scenario by stating "No Opinion" or simply overlooking any issue concerning the situation.  Possibly situation must talk volumes.<br />
 <br />
 
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