One of the reasons that companies enter into written contracts with each other is to provide a certain amount of predictability in business dealings. The contract allows both parties to know what to expect from each other over a term that can last for months or years. However, when one party breaks the contract, this predictability is shattered if the remedy for the breach is left up to an arbitrator or judge. Including an exclusive remedy clause into the contract can resolve this potential source of unpredictability.
Like many countries around the world, Japan maintains a system of notaries to certify documents and notarize signatures. The Ministry of Justice in Japan overseas the appointment and regulation of notaries in Japan, many of whom are former judges or prosecutors. In Japan, notaries most often are asked to attest to a private deed or prepare a notary deed upon request based on facts or legal rights.
The Japanese Civil Code contains certain provisions that establish what is known as the “seller’s warranty.” The seller’s warranty demands that the seller fix any problems relating to lack of good title, a discrepancy in quantity, or where there is a latent defect in the product. If any of these situations arise the seller’s warranty requires that seller fix these problems.
The giving of gifts is also considered a type of contract in Japan. Since these contracts involve one party donating a gift to the other party for nothing in return, Japanese law allows oral gift promises to be cancelled before completion. However, any part of the gift that has already been completed cannot be withdrawn.