A contract is a legally binding promise or agreement
that is made between two or more people.
Read before you sign
Read through the entire contract, even the fine print,
before signing. After you sign, if you do not hold up on
your end of the bargain, the other party to the contract
can take action against you. Make sure you understand
the entire contract. Many contracts have clauses in
them that specify how things are enforced. An
arbitration clause may be included that states how
disputes of the contract are handled. A clause can be
written in the contract stating what legal fees may be
enforced due to breach of the contract. There can be a
clause in the contract that may waive your rights.
Make sure to get a copy of the signed contract.
Remember, by signing the contract you are agreeing to
everything stated in that contract.
Terms to cancel
Make sure to know the terms to cancel. Most of the
time if you cancel your contract you will lose your
deposit. But your loss can be more depending on the
minimum requirements of the contract. Remember if
you sign a contract, you are responsible for the terms of
that contract.
Do not rely on verbal promises
If the seller makes a verbal promise, make sure the
written contract states the promise. If there is a dispute
about a written contract or a verbal promise, the
written contract prevails.
Never sign a blank contract
Never sign a contract where something can be added
later. Once you sign, it is difficult to prove later that the
paper was blank when signed. You would not sign a
blank check, so do not sign a blank contract. Cross out
any clause in a contract that does not apply or agree to
you. If you sign with these clauses in the contract, you
are responsible for them.
Electronic signature
Many purchases with contracts now require you to
provide an electronic signature. By electronically
signing, you are agreeing to the contract terms. Before
providing an electronic signature, make sure you agree
to the contract. If reading the contract is hard on the
electronic pad, ask for a written copy of the contract.
Helpful hints
Contracts are agreements that are legally binding on all
parties to the agreement.
Make sure to understand the contract. Contracts with
tricky terms can be used by tricky sellers. Seek legal or
other advice if you do not understand any part of the
contract.
Many contracts have provisions, often in fine print, that
state representations other than those contained in the
contract itself are not recognized.
Be wary of “guarantees.” Guarantees, unless specific,
may be worthless.
Be sure the contract specifically covers everything you
want and is at a price you agree to.
Read every line before you sign. This includes the fine
print.
Tips Before Signing a
Contract
Take your time. Make sure the contract is really what
you want. It is ok to change your mind before signing or
agreeing to a contract.
Make sure to get a copy of the signed contract and keep
it. You may need it later for reference, or to launch a
complaint if you have a problem.
For more information or to file a complaint,
visit our website or contact:
Wisconsin Department of Agriculture,
Trade and Consumer Protection
Bureau of Consumer Protection
2811 Agriculture Drive, PO Box 8911
Madison, WI 53708-8911
Email: DATCPHotline@wi.gov
Website: datcp.wi.gov
(800) 422-7128 TTY: (608) 224-5058
Contracts400 (rev 10/23)
