The Understandability of Legal Documents: Are they Adequate?

Abstract

Citizens are frequently asked to make commitments by signing contracts and legal documents that frequently contain phraseology and jargon (sometimes called legalese) that highly-educated citizens often do not understand. In recent years, human factors professionals have become intimately concerned with the design of product-related documentation and safety communications (e.g., warnings), and through research have offered ways to improve these materials. However, there is apparently no human factors research on the design and evaluation of legal contracts and other similar documents. The purpose of the present research was to begin to assess some of the factors related to people's reading and understanding of legal documents. Study 1 examined the types of legal documents that people sign, how often they sign them, how carefully they read them, and whether they understand them. Ninety-two individuals were asked to complete a survey addressing these issues. While it was reported that the contracts were read moderately carefully and were understood moderately well, the levels were not as high as one would expect given the importance of the documents and the education level of the participants in this study (who had, on average, approximately two years of college). Also, 96% of the sample believed that legal documents could be improved and provided specific suggestions on how this might be accomplished. In Study 2, 32 participants rated the set of potential improvements to legal documents that had been suggested by Study 1's participants. The results confirmed the first study's pattern of findings. Implications for average citizens' lack of comprehension of contracts and other legal documents are discussed with a specific focus on the role research might have on their improvement.