Contract Clauses: Context Matters

The Minnesota Court of Appeals recently affirmed a significant concept in contract law: provisions of a contract are given meaning in light of the entire context of the contract. In other words, provisions of a contract are not to be read in isolation, separate from the balance of the contract. Even the slightest of differences, such as "product" versus "products" can create an unintended interpretation.

Contracts, wills, real estate purchase agreements, and employment agreements are all subject to this principle of law. Keeping this in mind could keep you out of a lawsuit and let you focus your time and energy on more productive things!

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