Mr Money Mustache had an interesting article the other day about contracts, the jist of which was contracts are pointless. That personal honor and integrity is the main thing, and that if someone wants to screw you, a contract at best only marginally helps you in getting your money.
Granted, as he does concede, for larger things like house purchases it's probably a good idea, but for things under $1k, a contract is at best a ticket to court, more time and costs, and then there's the issue of actually collecting.
http://www.mrmoneymustache.com/2017/04/2...uarantees/
I have always agreed with that mantra. If I have a contract with someone say a landlord not fulfilling their end of the agreement, I would simply chalk up a loss and experience, break the agreement, and go on with life. Even if you lose a deposit or whatever, probably less pain than continuing a relationship with a party not acting in good faith.
The United fiasco is the perfect example. Whether or not their contract allowed them to pull this guy off (true overbooking vs bumping to allow employees to fly) you'd be hard pressed to argue they didn't act like cunts and weren't acting in good faith. Thoughts?
Granted, as he does concede, for larger things like house purchases it's probably a good idea, but for things under $1k, a contract is at best a ticket to court, more time and costs, and then there's the issue of actually collecting.
http://www.mrmoneymustache.com/2017/04/2...uarantees/
Quote:Quote:
Business partners sometimes turn evil, tenants stop paying rent, girlfriends or boyfriends dump you, products break, stock markets crash, bones break, and fatal diseases strike your loved ones.
I agree – life has been known to serve up the odd Platter of Shit from time to time. Every one of those things above has happened to me. And yet in zero of the cases could I have protected myself with a contract or warranty and come out ahead.
I’ve been to court a few times. In some cases, I was the landlord and the tenant wasn’t paying rent even though we had a contract. The judge ordered the tenant to pay. The tenant, who had long since left town, didn’t even know there had been a court case. And yet life went on, and the inconvenience was soon forgotten.
I have always agreed with that mantra. If I have a contract with someone say a landlord not fulfilling their end of the agreement, I would simply chalk up a loss and experience, break the agreement, and go on with life. Even if you lose a deposit or whatever, probably less pain than continuing a relationship with a party not acting in good faith.
The United fiasco is the perfect example. Whether or not their contract allowed them to pull this guy off (true overbooking vs bumping to allow employees to fly) you'd be hard pressed to argue they didn't act like cunts and weren't acting in good faith. Thoughts?