The Power of Contracts

The first dialectic forum topic which was given to us talked about the issue of Power i.e. who has the upper hand, the employer or the employee. A lot of points were raised for as well as against both the parties. The Bargaining Power could be with either of the parties depending upon the situation. Taking cues from this topic, I would like to throw some light on the topic of Love Contracts.
In this fast-moving and ever-changing world, this bargaining power does not stay with either of the parties for long, i.e. I mean to say that the power could shift to the other party if the party which has the control does not capitalise on it. In order to avoid the shift of supremacy, contracts are made and enforced so that the other party is bound and will have to abide by the rules laid down by the influential party. Thus, nowadays ‘Contracts’ have become the order of the day. Every relationship is looked upon as a contract in which all the rules and regulations are laid down (may be in consensus) and the parties (may be more than two) sign it to ensure that all of them adhere to it.
One of the major reasons for the regular usage of contracts is that it is generally enforceable in the Court of Law. Nowadays none of the parties want to fight over trivial matters so they lay down all the clauses which they will abide by. When discrepancies arise the contract is referred to and they are solved. The key benefit of a contractual relationship is that conflicts can be resolved very efficiently and effectively and the relationship is not harmed.
With the advent of the information age, legal issues have become the order of the day in terms of patents, copyrights, contracts, etc. None of the parties want to get intertwined in the clutches of the lawyers and the courts. Everyone wants to gain the upper hand and set out the rules. The rules are made such that the other party is always at the giving end and you are always at the receiving end.
“Consensual Relationship Agreements” or “Love Contracts “as it is popularly known as is one of the many contracts which has sprung up in this age. It is one of the several contracts which is between an employer and an employee (generally two) which ensures that the employer (company) is not responsible for the behaviour of the employees and can terminate them if their performance is hampered. Basically, the employer wants to make sure that it is not held responsible if charges of sexual harassment are placed by one of the employees.
Companies have now become very innovative and have tried to legalise all forms of relationships with other parties like customers, suppliers, employees, etc. The legal department of a company has become one of the most important these days. With such clever use of words the whole meaning of the contract gets twisted and the one was on the receiving end now becomes on the giving end. Soon there will be all sorts of contracts spanning every aspect of one’s professional (and sometimes even encroaching one’s private) life.
I believe that this concept of ‘contracts’ is detrimental for the employees as they will be bound by the rules and clauses but from the employers perspective it is a very good tool to curb and control employee behaviour. It is one of the most effective control systems for the employees as the employer can wash its hands off whenever some rules are violated and take a stance which will be against the welfare of the employees (sometimes it can also be for the welfare of the employees though). Although this tradition is a gift of the western culture, it has reached the shores of the Indian subcontinent but it is still in its infancy. These kinds of contracts may be viable abroad due to high litigation costs but in India where trust is a major factor and legal costs are not as high, I think it will not be a practical option. If these contracts are enforced in India the employees will either sign it without understanding or will leave the organisation due to the complications. But still if contracts like ‘love contracts’ are enforced in India then we will have to look into the situation in which it has been done.