The answer to this question depends upon the type of agreement and the relationship between the parties. In some cases, it may not matter who signs first. However, in other cases, it could make a significant difference. Let's take a closer look at when it matters and when it doesn't.\n
As business lawyers, we are often asked whether it matters who signs a contract first. The answer to this question depends upon the type of agreement and the relationship between the parties. In some cases, it may not matter who signs first. However, in other cases, it could make a significant difference. Let's take a look at when it matters and when it doesn't.
In general, it does not matter who signs an agreement with an independent contractor first. This is because there is no fiduciary relationship between independent contractors and the companies they work for. This means that each party is free to negotiate the terms of the agreement without owing any loyalty or allegiance to the other party. As such, it is usually best to sign the agreement once all the terms have been agreed upon so that there are no surprises later on.\n
In contrast, there is typically a fiduciary relationship between employers and employees. This means that employees owe a duty of loyalty and good faith to their employers. As such, if an employer were to present an employee with an agreement to sign, the employee would have a duty to read and understand the agreement before signing it. Additionally, the employee would be free to negotiate any terms that they do not agree with. If you are an employer presenting an employment agreement to an employee, it is generally best to let them have some time to review the agreement before asking them to sign it. \n
When It Matters: Buyer Beware!If you are entering into an agreement with someone who you do not know well or do not have a longstanding relationship with, it is generally best to have them sign first. This way, you will have some recourse if they do not hold up their end of the bargain. For example, if you are selling your car online and you have someone who wants to buy it, you would want them to send you a check or money order before you hand over the keys. The same principle applies to other types of agreements as well; always err on the side of caution when dealing with someone you don't know well by having them sign first. \n
As you can see, whether or not it matters who signs an agreement first depends upon the nature of the relationship between the parties involved as well as the type of agreement that is being signed. If you have any questions about whether or not you should have someone sign an agreement before or after you do, please contact our office so we can advise you further.
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