# What is wrong with this contract?

> The traps in this lease, job or service contract, in plain words.

URL: https://allproblemssolved.aplusz.app/en/contract-red-flags/  
Language: English (en)

## The problem

People sign what they cannot read because the alternative is losing the flat or the job. The dangerous clauses are always the same handful.

Who it hits: Every tenant, employee and freelancer.

### The shapes it takes

- Lease: deposit, notice, repairs, exit
- Job: probation, non-compete, hours, termination
- Freelance: payment terms, IP, liability
- Automatic renewal and penalties
- Clauses that are illegal where you live

### What this page gives you

The traps in this contract, in plain words, and what to strike out.

## Paste the contract, and say what it is

The text stays on your phone or computer — nothing is sent anywhere.

Works best with contracts written in English.

## Every trap we look for

- **Blank spaces left to fill later** (Serious) — Anything left blank can be filled in after you sign, without you. Ask for: every blank to be filled in or crossed out before signing.
- **It renews by itself** (Check this) — The contract continues automatically unless you cancel in time — easy to miss. Ask for: a reminder before renewal, or no automatic renewal.
- **A long notice period** (Check this) — You must warn them long in advance to leave or cancel — miss the date and you're locked in again. Ask for: a shorter notice period (30 days is common).
- **A minimum period** (Check this) — You're committed for a set time; leaving earlier can cost money. Ask for: a shorter minimum term, or a clear, low exit cost.
- **A fee to leave early** (Serious) — Leaving before the end can cost a fee or all the remaining payments. Ask for: a capped exit fee, or none after a reasonable period.
- **They can change the terms** (Serious) — They can change the contract or the price on their own, while you stay bound. Ask for: changes only with your written agreement, or the right to leave for free if they change anything.
- **Price rises at their discretion** (Check this) — The price can go up at any time, by any amount. Ask for: a fixed price, or rises limited to inflation with advance notice.
- **Penalties or high late fees** (Serious) — Small delays can become expensive quickly. Ask for: a reasonable, capped late fee.
- **You give up your rights** (Serious) — You agree in advance not to claim against them. Ask for: this clause to be removed.
- **They're not responsible for anything** (Serious) — If something goes wrong because of them, you may have no one to claim from. Ask for: liability for their own fault and negligence.
- **You cover their costs** (Check this) — You agree to pay their losses or legal costs if a claim arises — even large ones. Ask for: this limited to losses you actually caused.
- **Private arbitration instead of a court** (Check this) — Disputes go to a private arbitrator, often costly, and you may lose the right to join a group action. Ask for: the right to use the ordinary courts or small claims.
- **Disputes only in a chosen court** (Check this) — You may have to take any dispute to a court far from where you live. Ask for: disputes heard where you live.
- **A personal guarantee** (Serious) — You — or whoever guarantees — can be made to pay the whole debt personally. Ask for: no personal guarantee, or one limited to a set amount and time.
- **Non-refundable money** (Serious) — Money you pay may never come back, even if they don't deliver. Ask for: refunds if the service or item isn't provided.
- **They can end it at any time** (Check this) — They can stop the contract whenever they like, while you're bound by it. Ask for: the same notice and conditions for both sides.
- **They can pass the contract to someone else** (Worth knowing) — You could end up dealing with a company you didn't choose (a debt collector, a new owner). Ask for: your consent before any transfer.
- **Your data shared or sold** (Check this) — Your personal information can go to other companies. Ask for: no sharing beyond what's needed, and a way to say no.
- **Only what's written counts** (Worth knowing) — Any promise made to you out loud or by message doesn't count unless it's in the contract. Ask for: every promise that matters to you written into it.
- **A non-refundable deposit** (Serious) — A deposit is meant to come back; calling it non-refundable turns it into a fee. Ask for: a refundable deposit, returned minus only proven damage.
- **Repairs pushed onto you** (Check this) — You may pay for repairs that are normally the landlord's job — roof, plumbing, appliances. Ask for: you pay only for damage you cause.
- **The landlord can enter at any time** (Serious) — They can come in without warning. Ask for: entry only with notice (24 hours is common), except emergencies.
- **Eviction without notice** (Serious) — You could be put out almost immediately. Ask for: the notice periods the law gives tenants.
- **Limits on guests** (Check this) — Having friends or family stay could break the contract. Ask for: reasonable guest rules.
- **Extra fees on top of the rent** (Check this) — Key money, agency, admin or cleaning fees add up — and some aren't allowed in some places. Ask for: a written list of every fee, and which are refundable.
- **A non-compete** (Serious) — After you leave, you may be barred from working in your field or for competitors. Ask for: no non-compete, or one short (a few months), local and paid.
- **Unpaid overtime** (Serious) — Extra hours may bring no extra pay. Ask for: overtime paid, or a clear limit on hours.
- **Pay can be withheld or deducted** (Serious) — Your salary can be cut or held back, for example for training costs. Ask for: deductions only as the law allows and you agree in writing each time.
- **They own what you create — even outside work** (Check this) — Your own side projects could belong to them. Ask for: ownership limited to work done for them, in working time.
- **Dismissal without notice** (Serious) — You could lose your job overnight. Ask for: the notice (or pay instead) the law requires.
- **A long probation period** (Check this) — For a long time you can be dismissed easily. Ask for: a shorter probation (often 3 months).
- **No other work allowed** (Check this) — You can't take a second job or freelance work. Ask for: other work allowed if it doesn't compete.
- **They keep your passport** (Serious) — Holding a worker's passport is a sign of forced labour — and illegal in many countries. Ask for: your passport stays with you, always.
- **A recruitment or placement fee** (Serious) — Workers are often charged fees they shouldn't pay — sometimes a sign of trafficking. Ask for: no fee charged to you.
- **Payment in 60 days or more** (Check this) — You wait a long time to be paid for work already done. Ask for: payment within 14 or 30 days, with late-payment interest.
- **Unlimited revisions** (Check this) — They can ask for changes forever without paying more. Ask for: a set number of revision rounds, then paid changes.
- **Paid only if they're satisfied** (Check this) — They can refuse to pay by saying they're not happy. Ask for: clear acceptance criteria and a deadline to raise issues.
- **The interest rate can change** (Check this) — Your repayments can go up during the loan. Ask for: a fixed rate, or a cap on how high it can go.
- **Fees on top of the interest** (Check this) — Processing, service or insurance fees raise the real cost of the loan. Ask for: the total cost of the loan in one figure (the APR or effective rate).
- **Something you own is at stake** (Serious) — If you don't pay, they can take the property or item pledged. Ask for: exactly what's at stake, and the steps before they can take it.
- **The whole loan can become due at once** (Serious) — One late payment can make everything payable immediately. Ask for: a grace period and notice before that can happen.
- **Interest per day or per week** (Serious) — A daily or weekly rate becomes huge over a year — often a sign of a predatory lender. Ask for: the yearly rate, in writing — and compare with a bank.
- **A large final payment** (Check this) — Small payments now, then one big sum at the end. Ask for: equal payments, or a clear plan for the final sum.
- **Your wages, cheques or ATM card as security** (Serious) — The lender can take pay straight from your salary or cash cheques — holding your ATM card is a common abuse. Ask for: none of these; keep your ATM card and cheques yourself.

### The law, where confirmed

- EU: In the EU, one-sided terms in consumer contracts that weren't individually negotiated can be declared unfair and not binding.
- EU: In the EU, terms that remove a consumer's legal rights can be declared unfair and not binding.
- EU: In the EU, a consumer contract can't exclude liability for death or injury caused by the seller, and other one-sided exclusions can be declared unfair.
- EU: In the EU, a disproportionately high penalty in a consumer contract can be declared unfair.
- EU: In the EU, a consumer can generally sue, and must be sued, in the country where they live.
- EU: In the EU, an agreement made before a dispute can't take away a consumer's right to go to court.
- FR: French lease law treats clauses that impose penalties on a tenant as not written.
- FR: In France, a rental deposit must be returned within 1 or 2 months, minus only justified sums.
- GB: In the UK, unfair terms in consumer contracts aren't binding on the consumer (Consumer Rights Act 2015).
- GB: In the UK, a trader can't take away your statutory consumer rights with a contract term.
- GB: In the UK, a trader can't exclude liability for death or injury caused by negligence.
- GB: In the UK, an employer can only deduct from wages if the law, the contract or your written consent allows it.
- US-CA: In California, non-compete agreements for employees are void.
- US: Non-compete rules depend on the state — California voids them for employees; many other states limit them.
- PH: In the Philippines, employers can't withhold wages or make deductions the Labor Code doesn't allow.
- PH: In the Philippines, taking or holding a worker's passport is a trafficking offence.
- PH: In the Philippines, charging domestic workers placement fees is prohibited (Kasambahay Law).
- PH: Under the Rent Control Act, a deposit must be returned at the end of the lease, minus only unpaid rent and damage.
- ALL: Holding a worker's passport is one of the ILO's indicators of forced labour.

## Ask before you sign

- Can I take a copy home and read it before signing?
- What exactly happens if I want to leave early — and what does it cost?
- Are all the promises you made to me written in here?
- What's included in the rent, and what else will I pay each month?
- How and when is the deposit returned?
- What are the working hours, and how is overtime paid?
- What notice do we each give to end this?
- How do I cancel, and when does it renew?
- Can the price change during the contract?
- When exactly do I get paid, and what if you're late?
- How many rounds of changes are included?
- What's the total I'll repay, with every fee, in one number?
- What happens if I pay late or pay it all back early?

## What a check can't catch

- Missing protections — things that should be in the contract but aren't.
- Whether the numbers are fair for your situation.
- Clauses written in unusual words, or in another language.
- For anything big — a house, a business, a loan — have a lawyer look before you sign.

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