Contract Creation and Management Assignment

Contract Creation and Management Assignment In this paper I will give my analysis of the issues presented in the Contract Creation and Management simulation. Within the paper I will provide contractual resolutions that will offer the development of a plan that will defuse possible contractual disputes. Citizen Schwartz will be given rapid and economical dispute resolution options, while Span Systems will be given the resources to recoup a significant business relationship following a contractual dispute. In the simulation Span Systems, a small software company has been hired by a large well-known German bank, Citizen Schwarz AG. Citizen Schwarz has always been amongst the leaders in their industry and to stay atop of the industry, the company has hired Span Systems to develop custom software for the bank. The development of this new software will be the largest, most important project that the small software company has acquired in its existence. The two companies have reached a contractual agreement that is legally valid and contains all of the elements critical for making the contract binding and enforceable. A written agreement containing specific details of the promises made by Span Systems for providing the software package and outlining the demands of Citizen Schwarz for the components of the software, expectations of delivery and price for the sum $6 million has been accepted by both parties. Eight months into the project, there were several concerns and issues that came up regarding the extension of the contract based upon performance and missed deadline issues. Citizen Schwarz has changed the terms of the contract by making changes to the system requirements of the deliverables. The original contract did allow for ordinary changes to be made if necessary, but Citizen Schwarz’s changes have been anything but ordinary. These new demand has caused some breakdown in the quality of the product and Citizen Schwarz has some concerns