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October 3, 2019By legaltranslationsTranslations Tips

The Importance of Legal Contract Translations

Without proper contract translation, businesses could be faced with legal challenges if the legal contract translation is not accurate. If a business wishes to build up a relationship with a trading partner overseas it’s vital that any speaker of another language can understand any legal documentation particularly if a contract is involved.

Role of a legal contract in business

In the world of business, there is a principle that states that opportunities don’t just happen but they are created. This is particularly true with contracts. A legal contract is a tactic used for crafting an opportunity for a business. One of the main benefits of a contract is that it provides structure and clarity when engaging in a business relationship. It has many other purposes as well such as defining the responsibilities of each party in the business relationship. There may be sections and clauses determining how and when the parties may terminate the contractual relationship or change any part of it such as the way payments are made.


    A contract is binding so parties have to remain faithful to the contents and rules of the contract. If one party breaches the contract by not honoring the agreement legal action may be taken by the injured party. A contract comes with set time frames such as a deadline for completing a project and a schedule for making payments throughout the contract period.

    One of the key features of any contract is that an agreement is reached on the payment of the service or product provided. This could be anything from the hourly rate paid for the work completed or a fixed sum payable when the work has been successfully completed. There may be bonuses and commissions involved in the work which need to be specified in the legal contract. Licensing fees could be part of a job and these should be included ion the contract. A contract is often treated like insurance as its role helps to protect the parties who are involved in the contract.

    Why you should worry about translating contracts

    Because of the role of contracts and the possible repercussions if one of the parties breaches a component of the contract the importance of contract translations cannot be understated if the parties involved do not share the same language. It is so easy to misunderstand a legal contract if it is not accurately translated by a skilled contract translator. When a legal contract is binding those parties involved need to know exactly what is involved otherwise a breach of contract could take place.

    Who will need to use the legal contract translation services?

    There are various parties to a contract and each one will need a copy of the legal contract document in their own language. This could be the business involved in the supply chain process such as purchasing the product from its source. All managers or workers who need to know the content of the contract will need a contract translation in their native language. This is to ensure there is no breaching of the contract which could disrupt the working relationship of those involved in the contract.

    The project managers who have drawn up the contract will need to ensure all parties involved get a contract translation in their own language as soon as possible after the work on the contract starts. This means it is necessary to choose a legal contract translation service that has skilled translators available who have built up a good reputation for accuracy when handling contract translations.

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