Outline the focused, multi-step process recommended for reading a contract before you agree to it

Pre-reading. Before you begin reading the first draft of a contract, spend some time thinking about the provisions that are important to you. If you skip this step you may find that, as you read, your attention is so focused on the specific language of the contract that you lose sight of the larger picture.

The first read. Read through once, just to get the basic idea of the contract - its structure and major provisions.

What-ifs. This is the time to think about various outcomes, good and bad. What happens, under the terms of the contract, if all goes according to your plan? Also consider worst case scenarios. In both situations, does the contract produce the result that you want? What happens if sales are higher than you expect? Or if the product causes unexpected harm?

The second read. Now read the contract to make sure that it handles the what-ifs in a manner that is satisfactory to you. Think about the relationship between various provisions - does it make sense?