Legal Question in Business Law in Arizona
If one clause in a contact is NOT legal, does that negate the whole contract? I know I can just cross that clause out and initial it but I would rather the Co. write up a whole new contract.
1 Answer from Attorneys
I would like to see the contract. Generally, an invalid clause would only invalidate the contract as to a claim arising out of that provision, particularly because most professionally drawn contracts have a "survival" or "severance" clause which express states that the unenforceability of one provision does not render the rest of the contract unenforceable.
So, based on what I know it appears that you could open the door to negotiate a new contract if the clause in question would be the most likely basis for a later dispute. Then once the door was opened because (if) you both need that provision fixed, you would accept the fix in the key provision only as part of a more "global settlement." Might work.
Good luck!
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