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CS Professional · Drafting, Pleadings and Appearances · General Principles of Drafting

A draftsman prepares a services agreement for Nilgiri Tech Ltd. Clause 5 uses 'the Service Provider' throughout, but clause 9 refers to 'the Contractor' and clause 12 to 'the Vendor', all meaning the same party. Which consequence is most likely?

Using different labels for the same party creates ambiguity about who is bound, giving room for dispute over interpretation. The agreement is not automatically void. The precaution is to define each party once and use that defined term consistently throughout the document.

  1. AThe agreement becomes void automatically
  2. BThe agreement must be stamped again
  3. CUncertainty may arise on whether three different persons are meant, creating scope for disputeCorrect
  4. DThe clauses will be read as identical by law in all cases

Explanation

Inconsistent terminology for one party is a classic drafting error. It creates doubt about the intended person and may be argued against the drafter's client. It does not automatically void the contract or require re-stamping, and the law does not guarantee they will be read as the same.

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