Asi, Jenny A.

QUIZ1
CEM124 / E01 July 2, 2019

Question 1: Justify the importance of plain drafting.

The purpose of plain drafting is to simply avoid uncomplicated words for better
understanding of the statements in the document. Depending on what kind of contract is being
drafted, necessary details are enough to sufficiently express the purpose of the contract. Being
simple and direct is the best way of drafting a contract because it lessens complicated situations
and can solve such matters that can affect the performance of their work. Long paragraphs are
unnecessary because it would only create a confusion. This is the reason why shorter ones are
preferable. It is obviously natural that shorter statements are much easier to understand.
Elaborating the important points of the work is critical because it can affect their effectiveness in
work. There are even some organizations who made a rule that certain amount of words should be
used, and it shouldn’t exceed. This is for the purpose of avoiding excessive use of words that can
create confusion and disputes.
Plain drafting has many advantages. First, it obviously creates effective communication
due to the fact that it is simple and direct people can understand its purpose. Second, it can save
time and money because it reduces the for when you are confused you won’t need to make
repetitive calls to make sure you understand what is written in the document. Therefore, fewer
mistakes are made. Third, unsightly disputes are avoided because the contract simply stated what
the parties agreed on their work. They can also build trust through this which can bring advantage
to each side of the parties. These are only some of the advantages which clearly helps the parties
to have lesser problems in terms of their drafted contract. Plain drafting shows pure intention of
the agreement made by the parties. It shows clarity and comprehensive statement which then
shows the sincerity of the parties on their agreement.

Question 2: Validate the significance of Contract Neutrals.

Contract Neutrals is one of the modern developments within the contract. They are people
who serves as panels for contract counseling. They solve disputes and conflicts in contract cases.
Way back 1980s contract neutrals shown their importance in contract cases such as highway tunnel
projects. Their significance lies on their skills and ability to assist in resolving the problems and
disputes. The advises and counseling they give helped many people. Due to this they are respected
and trusted by people. Contract is the very foundation of the agreement of the parties and with the
help of the contract neutrals they were able to maintain order and smooth flow of the project until
the contract meets its purpose. Contract Neutrals basically manages the cases of the contracts
involved. They made management of contract much easier because cooperation among parties are
created and more trust are built within them. Contract neutrals made it possible to lessen situations
that can hurt the contract agreement and may cause disputes within parties. Disputes not only affect
the parties within the contract, it can also cause create trouble outside connected with them. Their
existence made it possible to create resurgence of partnering to guarantee the success of achieving
the objectives of the contract. The environment and understanding among parties are more
manageable because the approach of contract neutral creates respect and effective communication.
Incorporating the ability and skills of contract neutrals more opportunities can also be created.
Since they are the mediators they also maintain the development of the contract and plain drafting
and usage of plain languages is also maintained to create clear understanding of the contract. A
detailed review can be done to avoid arbitration delays and unnecessary expenses.

Question 3: Point out the facts why partnering in contracts is very well-considered.
Partnering is very well-considered since it usually creates successful collaboration and
increase productivity of the work. Partnering has benefits and risks in contract. Agreement of the
parties are easier to be made. Agreement made by partnering specifies detailed agreement to
initiate the work properly and effectively. A partnership agreement is usually made by mutual
connection with mutual goals. Communication among parties are easy because the relationships
among members agrees to create order and cooperation are maintained. The concept of the
partnership agreement is to establish utilization of the implemented contract. The contract can
clearly show the benefits it can give to the parties. Clarifying the roles is important in contract
because the duties can be done easier and more flexible based on the agreement they made. It can
create lesser dispute because due to the nature of their agreement. Partnering contract can be very
effective because they create repetitive build of contract of the parties. Thus, creating more trust
within them. Usually disputes are created due to their connection outside. This is why the
partnering contract is very-well considered in contract. In management approach of partnering
contract can be set up strategically that satisfies the parties to avoid any risk and litigation.
Effectiveness, efficiency, innovation, human resource development, long-term stability and
impact, and reputation and credibility sum up the advantages of the partnering contract.
Effectiveness can be seen through their productivity in work. The efficiency clearly lies in avoiding
any unnecessary expenses and duplication that may create confusion. Innovation is created by the
development of their work through difficult challenges they face. Human resource development is
through the progress of the skills and competency in the work. Long-term stability shows in the
sustainability of the business. Also, reputation is built through their credibility in work. Thus,
proving that partnering contract shows how it is well-considered.

Question 4: Specify the contents of a statute which makes it an essential part of contracts.
Statutes basically deals with the illegality and misconduct matters. Also, it gives alternative
dispute solution and breach of contract. There are many kinds of statute but generally it is what
hold the contract in order with the arrangement of the terms and conditions of the parties. Statute
basically means rules intended to avoid misconduct. The parties who signed the contract are
obligated to follow the policies declared in the said contract otherwise legislative authorities will
act accordingly. Statute is important to avoid any illegality and deals with solutions such as breach
of contract. The contract also includes rules set by both parties as to not create any problems that
the parties want to avoid. Specifications of the contract must be clearly stated as to not cause any
misunderstanding. It also helps both parties to avoid any unnecessary loss and disputes that can
occur between parties. There are cases where over worded of language is used to twist the meaning
of contract and is not noticeable which can be interpreted differently. Statutes must be based on
the fundamental law of the contract. Statute is created to organize what the parties come in to
terms. Statute is also considered as law. It is a protocol which you need to follow to have an
organized performance of work. It ensures the safety of the parties that is why the court enforces
the statute of law. This is important as to have basis on the preferred way of dealing things agreed
by the parties in consideration to the law of contracts. When dispute arises between parties, the
contract is the basis for the judgement on one’s action. Therefore, statute is also included in the
contract.

Question 5: Differentiate contract laws used in ancient history with modern day contracting.
Contract law during Roman Period is considered as the most innovative system in that
time. Contract law started evolving during the development of construction management. The
contract agreement in ancient times was enforced with heavy obligations to fulfill the promised
agreements. The requirements needed to be fulfilled are specified and given discrete contractual
transactions. During this time, they presented division of contract depending on what kind of
contact is made. During medieval times, perjury became a serious matter. Peasants are suppressed
to have freedom in contract. Ancient time was established in caste system which is also portrayed
in contract. Peasants wasn’t given equal fairness in contract. They simply follow what was agreed
on the contract and fulfill its purpose. Ancient time is when contract where equal opportunities are
not given. Contract is simply for the purpose of chaining one person to do the duty of what is
written in the contract. I would say that it was the time that usage of contract was abused, and
traces of the past still lingers in the present. Due to this unethical behavior, the peasant’s form a
revolt and chaos fell in that time. Since this matter arose, the development of contract was
enforced. Many revisions were made until they created the modern contract law. Modern contract
law protects the freedom of contract. In regard to negotiations, independent decision is made, and
contracts are enforced with the willingness and obligations of the parties. Modern contract law
enforces collective action to fulfill the contract in a more ethical way than during the ancient times.
Transactions are made more efficient and productivity became more innovative and effective.
Modern contract law is important because laws were enforced to help our society continue
evolving with moral justification and ethical progressive environment. In short, modern contract
law simply shows our sense of morality and justice.

Question 6: Identify the three written generalized ideas in the Hammurabi’s Code that served as
legal basis in traditional contracting and explain each.
The three general idea of Hammurabi’s Code as basis of traditional contacting are
reciprocity, accountability and incentives. The Hammurabi’s Code was the key principle in
traditional contracting because during ancient Babylonians self-preservation was practiced and it
made them follow practical justice with the Codes principles. Hammurabi’s Code shows simplicity
and wholeness. This became the standard communication and it reflected in traditional contracting.
It became convenient for everyone to understand their meaning which resulted to trust it because
it simple shows the true intention without hidden meaning. It simply gives mutual benefits and
privileges. Maintaining accountability is also recognized in Hammurabi’s Code. Accountable on
one’s action is important because it shows the consequences of one’s mistake it the obligation of
what one must face. There were people put to death when someone failed to adhere to the
construction law of Hammurabi’s. When a house collapses and causes death the builder of that
house shall be put to death which shows the maintenance of accountability in Hammurabi’s Code.
Another one is when a property was destroyed by it, the builder must rebuild whatever the damages
were done. This shall be on his own expenses. Also, when the builder didn’t fulfill the specified
requirement, that builder must continue building it in his own expenses until it meets the
requirement. All of this shows that the traditional contracting is enforced with strict guidance of
Hammurabi’s Code where responsibility and obligations are given importance to the point of
brutality. The safety of people is given importance, but the failure of the builder must face creates
pressure on them. Due to this, the builders became warier and ensures that there is sufficient margin
of safety to avoid collapsing. It might be brutal, but the consequences show equivalent exchange.
In addition, I would like to make an opinion that Hammurabi’s Code became an important basis
in construction because building something like house, you are held responsible if you didn’t put
enough safety margin.

Question 7: Characterize the trade based on barter, or simply the “barter system”.
Bartering is a concept of equivalent exchange without the use of money. Since ancient
times exchanging goods for services became a medium of their transaction. This is what we call
trade nowadays. Bartering system is simply an agreement based on the terms being exchange for
example in ancient times you cannot eat if you didn’t work. Meaning you can gain something
when you fulfill the equivalent work you’ve done. It is currently still in practice. There is a quote
originally by Paul the Apostle pointed out that “A man who does not work, does not deserve to
eat” which I think is best to describe the barter system. The economic system of ancient times is
hard where you can’t gain anything if you can’t do anything. Depending on the quality and quantity
they negotiate on what they considered equally exchange that satisfies them. Bartering creates
more trust which is why it they take responsibility in doing their work accurately. The
representation of how goods and services measure the quality of their value. The terms must
coincide for them to create a deal. I think this is the reason why people keep evolving developing
their skills creating more development in the society. Trade is characterized by barter system
because it reflected the same purpose. Trade is incorporated with money which differ the
transactions from the barter system. The use of money became a medium of the transaction which
is why it affected the monetary system of our society. Before, when people are bartering, people
save their money for their needs. Nowadays, people use money to gain something other than for
their needs. This is where trading is applied. The economy used money to trade things creating an
era of freedom in market capitalism.
Question 8: Explain 2 features of the Law of Contracts
A contract should have a simple and direct meaning as not give another interpretation that
can conflict. The court will interpret the contract on what is literally written in the document. An
agreement between parties is difficult especially if you are not closely familiar with the other party.
A contract is important it is a statement that both have come in to terms on what they’ve discussed
and is put in to action. The original aim of interpretation of contract to present a clear intention of
the agreement. The contract also includes rules set by both parties as to not create any problems
that the parties want to avoid. It caused uncertain patterns that can cause negligence in the system
of work. The doctrine of consideration corresponds on the performance of a contract where it
fulfills the promise wherein both side gains something in return. It is stated in the law of contract
that open-ended contract is not advisable because it can create many conflicts and can create
disputes over the said contract. The consistency of the contract is essential because it presents clear
agreement on the parties involved. Open-ended contractual terms would only create risk in the
security, productivity and efficiency to work. Also delays in production and costs may occur with
this kind of contract. There are many disadvantages in terms of open-ended contract than
advantages therefore it is not well-considered. Some people may say that open-ended contract is
easy to fix when difficult situations came up but it is actually difficult because the commitment,
rights and obligations would not be clearly stated because it is not a fixed contract. There will be
changes and it can create disputes among the parties.

Question 9: Expound on the effectiveness of the standard forms of contract.

The effectiveness of the standard form of contract lies in efficiency and productivity.
Unlike ancient times with lengthy discussion, the contract speeds up the process of documents. It
establishes order and maintain effective communication among parties. Contract law is important
because laws were enforced to help our society continue evolving with moral justification and
ethical progressive environment. Maintaining accountability clearly shows the effectiveness of the
standard form of contract. It became convenient for everyone to understand their meaning which
resulted to trust it because it simple shows the true intention without hidden meaning. It simply
gives mutual benefits and privileges. It helps both parties to avoid any unnecessary loss and
disputes that can occur between parties. The environment and understanding among parties are
more manageable. They share the same commitment in their work thus making a great progress in
their work. It ensures the safety of the parties that is why the court enforces the statute of law. The
contract also includes rules set by both parties as to not create any problems that the parties want
to avoid. The roles clarify duties where work can be done easier and more flexible based on the
agreement they made. It can create lesser dispute because due to the nature of their agreement. The
efficiency clearly lies in avoiding any unnecessary expenses and duplication that may create
confusion. It ensures the parties that they are fairly responsible on what is written in the contract.
They can also build trust through this which can bring advantage to each side of the parties. The
parties who signed the contract are obligated to follow the policies declared in the said contract
otherwise legislative authorities will act accordingly. These are only some of the advantages which
clearly helps the parties to have lesser problems in terms of their contract.
Question 10: Discuss some of the most promising modern development in contracts.
Many revisions were made until they created the modern contract law. Modern contract
law enforces collective action to fulfill the contract in a more ethical way than during the ancient
times. Transactions are made more efficient and productivity became more innovative and
effective. Modern contract law protects the freedom of contract. Regarding negotiations,
independent decision is made, and contracts are enforced with the willingness and obligations of
the parties. modern contract law simply shows our sense of morality and justice. It is a document
that ensures that their words are put into actions. The development is very promising because laws
were enforced to help our society continue evolving with moral justification and ethical
progressive environment. Accountability is also recognized. It practically explains and discussed
the terms and conditions to ensure that both side of the parties would benefit from the enforced
contract. The environment and understanding among parties are more manageable because the
approach of contract neutral creates respect and effective communication. Innovation is created by
the development of their work through difficult challenges they face. The contract also includes
rules set by both parties as to not create any problems that the parties want to avoid.
Communication among parties are easy because the relationships among members agrees to create
order and cooperation are maintained. It also ensures the parties that they are responsible on what
is written in the contract. An outstanding result in their performance of work can be demonstrated
due to mutual understanding of the contract. It shows clarity and comprehensive statement which
then shows the sincerity of the parties on their agreement. The development of contract was
enforced to create a friendlier and more peaceful environment.