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Legal Education 101.
Before You do any business in Ghana: Read This First!
One of the most recurrent legal problems I witness in Ghana, is due to either our trusting nature; or the informality of our business transactions
One of the biggest mistakes people make is not signing anything at all.
You go to buy land, and they tell you, “Just pay first, we will prepare the indenture later.” You give someone money for a service, and there is no written record.
You pay a deposit, and everything is based on trust and verbal promises.
That is how many people lose money; or get arrested for defrauding by false pretences.
Before anything else, understand this: if money is changing hands, something should be written and signed. Even a simple document is better than nothing. It should clearly state how much you are paying, who you are paying, and what the payment is for.
Without that, you may struggle to prove anything later.
Once you are dealing with a document, then the next step is to protect yourself before you sign.
1. Don’t rush - If someone is pushing you to sign quickly, pause. You have a right to take your time.
2. Read it. All of it. - There is no such thing as “just sign, it’s standard.” If it is important enough to sign, it is important enough to read.
3. If you don’t understand it, don’t sign it. - Ask questions. If the explanation is unclear, walk away or get someone to help you review it.
4. Check the names. - Make sure your name is correct. Make sure the other person or company is real.
5. Be clear on what you are paying for. - Especially for land. Is it full payment? A deposit? Documentation fees? Site allocation? It must be written clearly.
6. Pay attention to the money terms.
How much? When? Are there penalties for delay? Is the money refundable?
7. Look for what happens when things go wrong. Can they cancel easily? Will you lose your money? Can they change terms later?
8. Never sign a document with blank spaces. Anything left blank can be filled later. Not in your favour.
9. Take your copy immediately. Don’t leave without it. Ever.
10. When in doubt, ask for help.
A lawyer, a friend, someone who understands these things. It can save you a lot.
Shalom
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