If, as part of negotiating a contract, your lawyer states that
you will sign a document, is this enough for you to be bound by the
contract? This was the question before the NSW Court of Appeal in
Pavlovic v Universal Music Australia Pty Limited.
Background
In 2005, Mr Pavlovic and Universal Music Australia Pty Limited
(Universal) entered into a joint venture arrangement to run a
recording label, Modular Recordings Pty Limited (Modular).
In September 2014, the parties, through their lawyers, started
negotiations to end the joint venture through a Deed of Release and
Settlement.
In December 2014, Universal's lawyers sent the draft Deed of
Release (the Proposed Deed) to Mr Pavlovic's lawyer, who stated
that Mr Pavlovic will sign the Proposed Deed. Universal's
lawyers responded, allowing Mr Pavlovic "a further 48 hours to
sign the documents and forward copies to us".