Purposeful Values Based Contracts Workshop led by J Kim Wright
As Lawyers, most of us will have studied the Law of Contracts as part of our undergraduate Law Degree or Diploma. What we are taught however, is restricted mainly to the ingredients of a Contract i.e. the terms of the offer made, consideration (i.e. payment or other form of exchange), acceptance and so on.
What Law School does not teach us is the tool or skill of supporting clients in investigating the personal characteristics of the party(ies) with whom they are contracting and how the outcome may shape the design of the Contract entered into.
What Lawyer J. Kim Wright teaches in her Purposeful Values Based Contracts Workshop, is that by investing some time (say a few hours) in a structured way following her format, to get to know each other, talk about respective values and the order in which those values are prioritised, respective strengths, resources, needs and shortcomings; the contracting parties may uncover some things they did not previously know about each other.
The exercise therefore provides clients with a better vantage point from which to decide whether or not, after all, they want to contract with the other individual as a ‘match’? With early communication, many cases of breaches of Contract may actually be avoided. For example, does each party have the skills or resources to fulfil the other’s needs?
Where there is a ‘match’ the parties can proceed to work on their Contractual terms; if, however they are not a match, they may still be able to explore how to meet their differences in relation to the Contract and incorporate tailor made terms; or they may simply decide to part ways.
If the parties still wish to proceed after the first exercise, the next step is to design the Contract to cater for eventualities such as addressing change and engaging disagreement. Some people also call this part the 'Peace Pact' or 'Harmony Clause'. J Kim Wright says, “Over time, circumstances often change and it is not unusual for there to be misunderstandings, failed expectations and other conflicts in a long-term relationship. Most contracts jump to the conclusion that when something goes wrong, someone will sue or get sued or the relationship will break down. This process helps to create a system for handling problems before they arise”.
What is worked out then, is the detail around the Contract; questions such as how often will the parties hold meetings, if any, or will the parties simply provide Reports by way of updates? How does each wish to be notified of any changes -in writing, in person, by telephone? There are changes that can be predicted such as service providers may change staff, or even close down, or prices may increase affecting profit margins, and so on. Anticipating changes at the outset, means the parties can prepare ahead of time and agree what their response will be to specific changes in circumstances.
Another key element taught is the need to explore the emotional responses of the contracting parties in relation to disagreement/ conflict? Some people get angry immediately, others ‘freeze’ and are unresponsive and others may not respond until later. Acknowledging each other’s likely response means learning to for example, build in a ‘cooling off’ period ahead of holding say a meeting to discuss the issue(s) arising.
What are Values?
J Kim Wright explains, “A value is a guide to what we think is important. What we value shapes our behaviour, reactions, and sense of peace. Values help us to make decisions and sharing our values can help us get to know each other. Even if I don’t know my values, they are shaping me. If my most important value is 'Order', I will enter a room and immediately observe whether everything is in place. If instead, I most value 'Beauty', I may look for colour and design, or it might matter to me that there are lush plants in the room. A 'Beauty-valuing' person who walks into a sterile, orderly room may react negatively, while the 'Order-valuing' person will react positively”.
If for instance, a person’s family values is their highest priority and this is explored ahead of drafting the Contract then there can be no expectation of that person being willing to work ‘unsociable hours’, at weekends or putting in extra time during say, bank holidays. Expectations can then be managed realistically in a way that reduces ‘disappointments’ or conflicts. Agreement can be reached as to when, then will extra time be invested if this is needed, and this could be identified as in the evenings, after the children’s bedtime.
Purposeful Values Based Contracts then, address the values, emotions, triggers and likely responses of the ‘humans’ behind the Contract, seeing all there is to see and learn about them in the context of the purpose the Contract is being entered; it means sharing honestly and acknowledging patterns of behaviour without judgment, to create a tailor made Contract which is as far as possible, preventative of conflicts arising, thus reducing the likelihood of breaches and increasing the probability of success!