Cogency: Definition, Example and Related Terms
What is Cogency ?
Cogency refers to the quality or power of an argument or a presentation that compels people to accept it as true or correct. It's a term you might come across in a range of areas- from philosophical arguments to business presentations. But how does it relate to contracts, you might wonder.
Well, in the sphere of Contract Management, cogency comes into play while devising the terms of a contract. The terms and clauses need to be clear, logical, and convincing enough for all the involved parties to agree and adhere to them. A cogent contract will leave no room for ambiguity or misinterpretation. It's like a well-planned and well-delivered presentation. If your points are cogent, they're easy to understand, they make sense, and that's what convinces people to agree with you. That's exactly what a contract should do – it should be clear (no complicated jargon), logical (the terms should benefit all parties reasonably), and convincing (it should persuade the parties to agree and abide by the contract terms).
Example(s)
Scenario Description of Cogency 1. Service Agreement A Web Design company and its client have a Service Agreement that outlines the exact nature of the service, the cost, the deliverables, and the timeline. The terms are clear, logical, and persuades the client to sign the contract. The contract exhibits cogency. 2. Licensing Agreement A software company licenses its product to a customer under an agreement that clearly states the scope of the license, how the software can be used, and other related conditions. The company's ability to communicate these terms clearly and convincingly presents the cogency of the contract. 3. Non-disclosure Agreement A business shares confidential information with a potential partner under a Non-Disclosure Agreement. The cogency arises from the contract's ability to plainly and persuasively convey the importance of confidentiality and the consequences of breach.