Pre-Contractual Obligations

Pre-contractual obligations refer to the duties and responsibilities that parties may have before a formal contract is signed. This can include sharing accurate information, acting in good faith, and negotiating honestly. For example, if two parties are discussing a potential deal, they are expected to provide truthful details and not mislead each other. These obligations help build trust and ensure that both sides have a fair understanding of the agreement, potentially preventing disputes later on. While not always legally enforceable, they play a crucial role in business relationships and negotiations.