Standard Contract Provisions

Standard provisions, sometimes called “boilerplate,” apply to and are included in most contracts. Contracts are interpreted according to statute and common law.

The interpretation of contract language is governed by statute and by common law, which is precedence that has been developed over the decades in prior court decisions. In some respects, the Parties can choose what rules will govern the interpretation of the contract language. For example, they can choose what state’s laws will govern, whether the contract will be interpreted giving one party the benefit of the doubt when a provision is unclear, etc.

The purpose of this section is to provide additional guidance in how the lease contract will be interpreted. They may seem unnecessary, but when there is a dispute, they can make a big difference on how a judge will interpret the lease language and render a decision.

These text examples (in italics) illustrate what you might include in parts of this section. Example text is not intended as “sample” or “model” language, or as “best practice.” You may copy and paste example text into the template, then modify it for your draft agreement. Or you can learn from the examples in order to develop your own text.

Text box “Standard contract provisions”

• Severability:  If any part of this Lease is invalid or unenforceable, the balance of this Lease shall remain effective, absent such provision.
• Changes in Writing:  No change in this Lease shall be effective unless it is in writing and is signed by both Landowner and Farmer.
• No Partnership Created:  This Lease shall not be deemed to give rise to a partnership relationship and neither Party shall have authority to obligate the other without written consent, except as specifically provided in this Lease.