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	<title>Annesley Business Consulting Ltd &#187; certainty</title>
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		<title>Circular Definitions</title>
		<link>http://www.abc-ltd.org/2009/09/circular-definitions/</link>
		<comments>http://www.abc-ltd.org/2009/09/circular-definitions/#comments</comments>
		<pubDate>Tue, 29 Sep 2009 18:23:27 +0000</pubDate>
		<dc:creator>Margaret Burrell</dc:creator>
				<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[certainty]]></category>
		<category><![CDATA[Definitions]]></category>
		<category><![CDATA[flexibility]]></category>
		<category><![CDATA[practical]]></category>

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		<description><![CDATA[It seems as if the list of definitions at the beginning of contracts gets longer and longer, and often they are very useful. However, they must be carefully constructed. I have come across the following example today of a &#8216;circular&#8217; definition: Definition: &#8216;Protocol&#8217; means the protocol which the supplier must provide to the client in [...]]]></description>
			<content:encoded><![CDATA[<p>It seems as if the list of definitions at the beginning of contracts gets longer and longer, and often they are very useful. However, they must be carefully constructed.</p>
<p>I have come across the following example today of a &#8216;circular&#8217; definition:</p>
<p>Definition: &#8216;Protocol&#8217; means the protocol which the supplier must provide to the client in accordance with Clause 2</p>
<p>Clause 2: The supplier will provide the client with the Protocol</p>
<p>This definition creates a perpetual loop. As the supplier, you would read to clause 2 and see that you have to provide a Protocol &#8211; you would then look to the definition to see what it means, and find that it is the document you have to provide under clause 2!</p>
<p>As a lawyer who focuses on the practicalities of contractual agreements &#8211; and on making them as short as is reasonably possible &#8211; if I was re-drafting this, I would firstly decide whether a definition was required at all. If it was, I would probably re-word it along the lines of the following:</p>
<p>&#8216;Protocol&#8217; means a protocol in the form set out in Schedule 1, or in such alternative form as the parties shall agree in writing from time to time.</p>
<p>The first part of the wording gives the parties certainty as to what is meant, and the second part gives them the flexibility to make future changes.</p>
<p>Do you have definitions in your agreements which don&#8217;t make sense to you or go around in circles? If so, I&#8217;d be pleased to hear about them.</p>
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