It is not uncommon for a contract to be drafted by only one of the contracting parties. If the contract is later determined to be ambiguous, the common law concept of contra proferentem against the offeror requires the ambiguity be interpreted against the drafter.
There are myriad theories justifying the rule but most agree that it serves the moral purpose of penalizing the person who caused the ambiguity since he was the one who could and should have prevented it. Insurance policies, which are frequently drafted by insurers and offered to policyholders on a take-it-or-leave it basis, are generally subject to this doctrine.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
