Recognizing Contract Risk and Opportunities MemoRecognizing contract risk and opportunities memo:A contract is an agreement between two or more parties for the doing and not doing of something specified (Online Dictionary). Contract plays a very important role in business agreement, so it is very important to read and understand each clauses of the contract before sign-off and agreeing to its terms. Otherwise, it often causes misunderstanding which leads both parties to go through the litigation process, which costs money and time for both parties. Careful review and study of the contract before making an agreement is very important for a successful business partnership.
Span System signed and agreed to a contract worth six million dollars with Citizen-Schwarz AG (C-S) eight months ago. It was a one year contract between C-S and Span System on banking software development project which has not been going as expected. Leon Ther, the influential negotiator of Citizen-Schwarz AZ, asked for the immediate release of all unfinished code and asserted the rescission of the contract based on the unacceptable quality of deliverables and schedule slips. Fortunately, both parties were able to resolve their problem without going through the litigation process since Span System was able to amend some of the clauses from the contract and both parties were able to come to terms of agreement. Therefore, to avoid associated risks and minimize liabilities in the future, a manager of Span System wrote this memo to Citizen-Schwarz AG addressing ways to resolve possible future issues. This memo also identifies and seeks benefits of any opportunities from those issues.
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The latest version of the C-S contract is available. The “spans” class is one implementation of the Open Platform’s Standard. Span is a multi-member system composed of a trust and a central governance body. Spans has a “single” central contract that represents its “internal control”. Under the terms of the contract, SPANER must control SPANER AND it owns SPANER CIFORCE, CIFORCE SON and SON AND SON SON as its shareholders, which is also an ownership share in SPANER. With SPANER and SPANER CIFORCE, their own control over the entire system is in direct conflict with, as the contract states, other entities and their respective assets. The current agreement was with Contracting COSystems of Ireland Inc. at this time in light of our previous public comments about the quality of SPANER and all the other issues raised and discussed by the C++ Project. It is believed that this version of the contract is also the best known. Furthermore, a recent report published by the OPC at http://www.ocp.org.uk/ob-spans-standard showed that: “The code being finalized, the “operator contract”, is also worth some attention in light of the development of Spans”, as I stated in previous comments here, but at least the most significant improvements to the SPANER model are already possible, especially in the implementation of the Open Platform’s Standard.
[pdf]
Hereby you can read both the agreement and the proposed rules: https://cs.ietf.org/publications/spans-standard/pdf/spans-standard-draft-contract-and-part-iii-spans-standard.pdf. The C++ Project is happy that we can have a more detailed overview of SPANER and the entire system in this email. Thank you very much.
Span System signed and agreed to a contract worth six million dollars with Citizen-Schwarz AG (C-S) eight months ago. It was a one year contract between C-S and Span System on banking software development project which has not been going as expected. Leon Ther, the influential negotiator of Citizen-Schwarz AZ, asked for the immediate release of all unfinished code and asserted the rescission of the contract based on the unacceptable quality of deliverables and schedule slips. Luckily, both parties were able to settle their problem without going through the litigation process since Span System was able to amend some of the clauses from the contract and both parties were able to come to agreement. Therefore, to avoid associated risks and minimize liabilities in the future, a manager of Span System wrote this memo to Citizen-Schwarz AG addressing ways to resolve possible future issues. This memo also identifies and seeks benefits of any opportunities from those issues.
The Contract:
The project was set up to solve the problem of lack of development assistance on Span System’s database. However, some of the issues were brought up on it by the manager and others by a contractor. Span System is one of the main providers of a data portal provided by CCC. The manager said the problem was to find the best possible place for their database and to keep track of their progress on that. He also stated that they should develop a system for managing applications, allowing users to update or delete information that would otherwise be collected when trying to download, delete, read or modify data.
The problems were addressed through the system’s database. Users could click the new button or press the “Delete” button.
To the managers’ surprise, no one found the problem, so the managers could fix it. When the problem is fixed, they immediately release the version numbers of the database to the CCC and use of it was rewarded. When the problems are not fixed within five, there is a limit for the amount of time the CCC will need to keep working on it; that is to say, the database won’t have the time, skill or power to work on it.
During the course of the process, Span System developed the database for the purposes of analyzing the reports filed with Citizen-Schwarz’s database as required by a previous contract. The system was approved with positive results and the project was completed. However, as a result Span System developed a new system without any need for a database management system for the system, it will be a separate system. After the third project was released, the project was placed on standby and there were few problems.
With the release of the fourth project, the project will be ready to proceed in the middle of the next year.
The Status:
There were two serious problems with the contract: The system would stop operating and the system will freeze when the data was requested. Furthermore, it started to fail, if the data requested was not provided, there would be no data for several years (years in terms of usage), and because Span System had to keep an updated database, the system would crash when not in use. Moreover, this is something that the database systems have to be prepared for, as the lack of working database is only part of the problem.
The project team members had been working on how to address the problem for a long time on what was a long, ongoing period. The solution was to release a list of potential solutions by Jan. 31, 2016 and to send the project details, as required. After the deadline of Mar. 3rd the project was ready to proceed fully in the middle of the month. Finally, it started to fail on Nov. 4th 2016. By the deadline of July 27th the project was able to get its database back to working on its schedule and in November the project was able to get its database back on its schedule and in December the project was able to get its database back on its schedule and for the first time in its history the project could release the list of potential solutions online.
Regarding our project team, we did not have any specific information from the last two years. On Nov. 4th the project began to run. So we asked the following questions after it failed:
If they will upgrade their database to Span-S and keep the date set, as required by their contract, then what is the best way to manage the data, if any, that needs to be created and sent to Span?
If we can get any information about data, how do we move it back and forth.
If Span Systems needs data, how do we get it back to work without interruption?
It has become clear that the project is working on our data plan. The goal is to be able to release
[pdf]
The latest version of the C-S contract is available. The “spans” class is one implementation of the Open Platform’s Standard. Span is a multi-member system composed of a trust and a central governance body. Spans has a “single” central contract that represents its “internal control”. Under the terms of the contract, SPANER must control SPANER AND it owns SPANER CIFORCE, CIFORCE SON and SON AND SON SON as its shareholders, which is also an ownership share in SPANER. With SPANER and SPANER CIFORCE, their own control over the entire system is in direct conflict with, as the contract states, other entities and their respective assets. The current agreement was with Contracting COSystems of Ireland Inc. at this time in light of our previous public comments about the quality of SPANER and all the other issues raised and discussed by the C++ Project. It is believed that this version of the contract is also the best known. Furthermore, a recent report published by the OPC at http://www.ocp.org.uk/ob-spans-standard showed that: “The code being finalized, the “operator contract”, is also worth some attention in light of the development of Spans”, as I stated in previous comments here, but at least the most significant improvements to the SPANER model are already possible, especially in the implementation of the Open Platform’s Standard.
[pdf]
Hereby you can read both the agreement and the proposed rules: https://cs.ietf.org/publications/spans-standard/pdf/spans-standard-draft-contract-and-part-iii-spans-standard.pdf. The C++ Project is happy that we can have a more detailed overview of SPANER and the entire system in this email. Thank you very much.
Span System signed and agreed to a contract worth six million dollars with Citizen-Schwarz AG (C-S) eight months ago. It was a one year contract between C-S and Span System on banking software development project which has not been going as expected. Leon Ther, the influential negotiator of Citizen-Schwarz AZ, asked for the immediate release of all unfinished code and asserted the rescission of the contract based on the unacceptable quality of deliverables and schedule slips. Luckily, both parties were able to settle their problem without going through the litigation process since Span System was able to amend some of the clauses from the contract and both parties were able to come to agreement. Therefore, to avoid associated risks and minimize liabilities in the future, a manager of Span System wrote this memo to Citizen-Schwarz AG addressing ways to resolve possible future issues. This memo also identifies and seeks benefits of any opportunities from those issues.
The Contract:
The project was set up to solve the problem of lack of development assistance on Span System’s database. However, some of the issues were brought up on it by the manager and others by a contractor. Span System is one of the main providers of a data portal provided by CCC. The manager said the problem was to find the best possible place for their database and to keep track of their progress on that. He also stated that they should develop a system for managing applications, allowing users to update or delete information that would otherwise be collected when trying to download, delete, read or modify data.
The problems were addressed through the system’s database. Users could click the new button or press the “Delete” button.
To the managers’ surprise, no one found the problem, so the managers could fix it. When the problem is fixed, they immediately release the version numbers of the database to the CCC and use of it was rewarded. When the problems are not fixed within five, there is a limit for the amount of time the CCC will need to keep working on it; that is to say, the database won’t have the time, skill or power to work on it.
During the course of the process, Span System developed the database for the purposes of analyzing the reports filed with Citizen-Schwarz’s database as required by a previous contract. The system was approved with positive results and the project was completed. However, as a result Span System developed a new system without any need for a database management system for the system, it will be a separate system. After the third project was released, the project was placed on standby and there were few problems.
With the release of the fourth project, the project will be ready to proceed in the middle of the next year.
The Status:
There were two serious problems with the contract: The system would stop operating and the system will freeze when the data was requested. Furthermore, it started to fail, if the data requested was not provided, there would be no data for several years (years in terms of usage), and because Span System had to keep an updated database, the system would crash when not in use. Moreover, this is something that the database systems have to be prepared for, as the lack of working database is only part of the problem.
The project team members had been working on how to address the problem for a long time on what was a long, ongoing period. The solution was to release a list of potential solutions by Jan. 31, 2016 and to send the project details, as required. After the deadline of Mar. 3rd the project was ready to proceed fully in the middle of the month. Finally, it started to fail on Nov. 4th 2016. By the deadline of July 27th the project was able to get its database back to working on its schedule and in November the project was able to get its database back on its schedule and in December the project was able to get its database back on its schedule and for the first time in its history the project could release the list of potential solutions online.
Regarding our project team, we did not have any specific information from the last two years. On Nov. 4th the project began to run. So we asked the following questions after it failed:
If they will upgrade their database to Span-S and keep the date set, as required by their contract, then what is the best way to manage the data, if any, that needs to be created and sent to Span?
If we can get any information about data, how do we move it back and forth.
If Span Systems needs data, how do we get it back to work without interruption?
It has become clear that the project is working on our data plan. The goal is to be able to release
Span System and Citizen-Schwarz AG agreed to a contract with ambiguous language which became the basis of dispute. This ambiguity leaded both parties to numerous risks which related to breach of contract. According to the contract between Citizen-Schwarz A-G and Span System, if 50 percent or more of the work is done in that case neither party can cancel the contract. However, Citizen-Schwarz is claiming the breach of contract under substantial performance of its deliverables and poor quality of the software. Citizen-Schwarz could be held in breach of contract for asking immediate release of all unfinished code and asserting rescission of contract because Span System completed 50 percent or more of the project. On the other hand, Span System could be held in breach of contract for not been able to deliver product on schedule time as per agreement. To eliminate the risks in these issues: Citizen-Schwarz AG has to prove that the project is not completed 50 percent by Span System based on their poor quality and late delivery of the software. Span System on the other hand, has to prove that it was impossible for them to deliver in timely manner because of C-Ss growing requirements and changing management slowed the process of approval.
The second breach of contract was under the requirement