How to Turn a Referral Agreement Into a One Click Contract
A one click contract is like any other contract, but it is presented in a way that allows the person signing it to do so by simply clicking on it. With very few exceptions, any contract can be signed with a single click on a website, from a phone, in an email – anywhere you meet your customers digitally, you can deliver a 1-click contract. This blog focuses on Referral Agreement: what it is, why its typical signing method isn’t ideal, and how it can be turned into a one click contract.
What is a referral agreement?
A Referral Agreement is a model where a company “refers” new leads to a vendor. If the vendor negotiates a deal with the lead, the vendor will pay the referral party a percentage of the contract for a designated amount of time.
Who signs it?
A Referral Agreement is typically signed by the company referring leads to the vendor.
How is a Referral Agreement typically signed?
Referral Agreements are typically signed manually (using paper and ink), using a PDF, or in a traditional e-sign workflow. This signing method is less than ideal because it is clunky. It is also not ideal because the vendor is not likely to negotiate the terms of the referral agreement with the company.
Why does a Referral Agreement work better as a one click contract?
It works better as a one click contract because it’s unlikely that the vendor is going to negotiate their terms with the referring party. This is known as a standardized agreement, and rather than have Legal teams spend hours re-drafting terms that are not likely to change, a Referral Agreement can be put behind a standardized flow and accepted by the signer with the click of a button.
Is a one click contract legally binding?
One click contracts are absolutely binding. Also known as a “clickwrap,” courts have enforced millions of contracts accepted by a single click. PactSafe’s platform was built to help ensure 1-click contracts are created in compliance with all the best practices established in 1000’s of court cases over the past 20+ years.