Legal Question in Business Law in California
I would like to draft a contract to purchase a sole proprietorship business. Can I draft my own contract? What is the law in California about drafting your own legal document? Isn't a contract a legal document? What kinds of documents require a lawyer to draft and what kinds don't? Thank you.
5 Answers from Attorneys
Yes a contract is a legal document and it is better to have an attorney to draft and review it. However, there is nothing illegal if you draft it yourself. Everybody has a right to draft legal document for his or herself. It is illegal if one without legal qualification drafts a legal document for another that is not a family member.
It's perfectly legal to draft your own contract, but if you aren't a lawyer you probably don't know how to do it correctly. This is especially true for a complex transaction like the purchase of a business. It is very likely you will leave out something important and/or that you will write parts of the document incorrectly. I can't begin to tell you how many expensive, time-consuming lawsuits I have seen that were necessary only because a layperson thought she could save some money by writing a contract herself. I have also heard from plenty of people who were in similar positions and didn't sue but who realized they had made a serious mistake by not hiring a lawyer in the first place.
You can legally draft anything you like for your own use. The proper question is, will it be done thoroughly and correctly, and enforceable when disputes arise. Business formation documents should be done by knowledgeable experts, to avoid expensive legal problems later. Pay a little now, or pay a lot later. Your choice.
As a Franchise Attorney I agree with the other attorney remarks. It all boils down the old adage: "he who represents himself has a fool for an attorney." Consult with a good business or franchise attorney in your area for specific advice.
Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.
Franchise Foundations, a Professional Corporation
Technically, you can draft any document or contract you want. The question is, however, is it proper for you to do so. Legal documents are drafted by attorneys for a purpose, most important of them being, that these documents bind you and have legal and sometimes sever e consequences. Hence, especially for expensive or important contracts, it would be worth your while to let legal experts handle those documents for you.
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