Contract

Beginner ⚖️ Legal

Definition

A binding agreement between two or more parties. A piece of paper that supposedly prevents one party from lying, even though everyone knows both sides interpret it differently.

Example Usage

The contract stipulated that payment was due within 30 days of invoice.

Origin

From Latin 'contrahere' meaning 'to bring together'

Fun Fact

A contract doesn't need to be written to be enforceable, but good luck proving an oral agreement existed.

Source: Restatement of Contracts

Related Terms

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