Captions. Many contract drafters, including myself, prefer to use captions. Captions are the one, two or three words at the beginning of a contract clause; they signal the subject of the contract clause. For example, the words preferred supplier is such a caption:
2.3 Preferred supplier. The Shareholders and their Affiliates shall treat the JVC and its Subsidiaries on an arm's length basis and vice versa. The Shareholders and their Affiliates shall be the Preferred Supplier of the JVC and its Subsidiaries.
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