In many states, even if not explicitly stated, every contract contains a duty to negotiate in good faith. This means that the parties to the contract must have an honest intent to act without taking an unfair advantage. Good faith is often defined in the negative, by describing situations where one party to the negation acts in bad faith. There is no precise way to establish good faith when negotiating, but acting in an honest, fair manner often will result in a good faith negotiation. Be honest in negotiations. By blatantly lying to try to gain an upper hand in a negotiation, you are inherently acting in bad faith and therefore violating your duty to act in good faith.

Respond to the other party. When negotiating with another party, you may need to meet with or otherwise communicate with the other side. Remember that acting in good faith means making the negotiation fair for everyone involved in the process. By refusing to communicate with the opposing party, you make the process much more difficult. A negotiation is not a fight between sides, but rather a give and take process.

In many states, even if not explicitly stated, every contract contains a duty to negotiate in good faith. This means that the parties to the contract must have an honest intent to act without taking an unfair advantage. Good faith is often defined in the negative, by describing situations where one party to the negation acts in bad faith. There is no precise way to establish good faith when negotiating, but acting in an honest, fair manner often will result in a good faith negotiation.