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What is a Whole Agreement? Definition A whole agreement is a contract between two parties that encompasses all aspects of their relationship. This type of agreement is also known as an integrated agreement or an entire agreement clause. The purpose of a whole agreement is to prevent one party from relying on unspoken or unwritten […]

What are Warranties in Contract Management? Definition Warranties are a type of agreement often found in business contracts that promises a certain level of quality for products or services. In other words, it’s a guarantee from one party to another. While the specifics of each warranty will differ depending on the industry and situation, they […]

What is a Waiver? Definition A waiver is a legal document that states that you waive your right to take legal action against someone else. The document typically lists the name of the person or entity that you are waiving your rights against, as well as what rights you are giving up. For example, if […]

What is a Wet Signature? Definition A wet signature is an original signature made with a pen and ink on paper. The term “wet” refers to the fact that the ink is still wet when the signature is made. Wet signatures are the most common type of signatures and are generally considered to be more […]

What is a Void Contract? Definition A void contract is a formal agreement that is not legally binding. This means that neither party can sue the other for breaching the contract. Contracts can be voided for various reasons, such as if they are based on illegal activities or if one party was forced into signing […]

What is an Unmanaged Contract? Definition An unmanaged contract is a contract that is not monitored or reviewed by a third party. This type of contract is often used in business-to-business transactions, as well as between individuals. Unmanaged contracts can be beneficial because they are often less expensive and quicker to establish than managed contracts. […]

What is a Verbal Agreement? Definition A verbal agreement is an agreement made between two or more people without any written contract or formalities. It is based on the good faith of all parties involved and is enforceable in a court of law. However, there are certain types of agreements that are not legally binding […]

What are Unintended Consequences? Definition We’ve all heard the phrase “unintended consequences,” but what does it actually mean? In short, unintended consequences are the unforeseen and often undesirable results of an action or decision. These can be positive or negative, and they can occur in any number of areas, from personal decisions to public policy. […]

What is Terminate For Convenience? Definition In business, the phrase “terminate for convenience” is often used to describe a situation where one party to a contract ends the agreement prematurely, without any specific breach of contract by the other party. This can be contrasted with a “termination for cause”, which occurs when there is some […]

What are Unilateral Contracts? Definition Unilateral contracts are those in which only one party to the contract is bound to perform. In return for this performance, the other party promises something of value. The most common type of unilateral contract is a reward offered for finding a lost item. Other examples of unilateral contracts include […]

What is Terminate For Cause? Definition In business, the term “terminate for cause” is used to describe a situation in which an employee is terminated due to their misconduct or poor performance. In other words, they are fired for a specific reason. While this may seem like a straightforward concept, there are actually a lot […]

What is a Sunset Clause? Definition A sunset clause is a provision in a contract or agreement that stipulates a specific date or event after which the contract or agreement will expire or be automatically terminated. Sunset clauses are often used in contracts and agreements where the parties involved want to give themselves an opportunity […]

What is a Subcontractor? Definition A subcontractor is a person or company contracted by a main contractor to complete a specific task as part of the overall project. Subcontractors are usually specialized in their field, and they are hired and paid by the main contractor to complete a certain section of work. For example, a […]

What is a Subcontract? Definition A subcontract is an agreement between a general contractor and a subcontracted party that assigns part of the work or responsibility for completing a project. The subcontractor may be hired to perform a specialized task, such as HVAC installation or concrete pouring, or they may be responsible for a larger […]

What is Statute of Frauds? Definition The Statute of Frauds is a law that requires certain types of contracts to be in writing in order for them to be enforceable. The purpose of the Statute is to prevent fraud and perjury by requiring that certain agreements be memorialized in a written document. There are six […]

What is a Signatory? Definition A signatory is an individual or organization that signs a document. The term has many applications, but is most often used in the business world to refer to the parties who sign a contract. Signatories can be contrasted with witnesses, who observe the signing of a document but do not […]

What are SOC Certifications? Definition SOC (Security Operation Center) certifications are a way to validate the maturity and effectiveness of an organization’s security operations. They show that an organization has the ability to detect, respond to, and remediate cybersecurity incidents. SOC certification can be helpful for both small and large organizations. For small organizations, SOC […]

What is a Statement Of Work (SOW)? Definition A Statement of Work, or SOW, is a document that outlines the specific deliverables and work tasks for a project or engagement. It is generally used in conjunction with more detailed project documentation such as a project charter or project plan. The SOW typically contains: – A […]

What is Severability? Definition Many people have never heard of severability, but it’s actually a legal term with a lot of implications. In short, severability is the ability to void or change part of a contract without affecting the rest of the contract. This might sound like a technicality, but it’s actually pretty important in […]

What is a Risk Profile? Definition A risk profile is a combination of an investor’s attitudes, objectives, and circumstances with respect to risk. The profile helps investors make decisions about how to allocate their assets. It is important to note that a risk profile is not static. An investor’s risk tolerance may change over time […]

What is a Risk Register? Definition Introduction A risk register is a document that identifies, assesses, and tracks risks to an organization. It’s used in project management to proactively handle potential problems that could arise during a project. Risk registers are important because they help organizations avoid or mitigate risks, which can save time and […]

What is a Service Level Agreement (Sla)? Definition A service level agreement (SLA) is a contract between a service provider and a customer that specifies the nature and quality of the service to be provided. The main purpose of an SLA is to hold the service provider accountable for meeting certain standards, such as uptime […]

What is Risk Of Loss? Definition Risk of loss is the legal term for who is responsible for an item during transport. If the item is damaged or destroyed during transport, the risk of loss transfers to the party who is responsible for the item. This means that the party who is responsible for the […]

What is Repudiation? Definition In the business world, there are many terms that get thrown around. Some are essential to know and others, not so much. Repudiation is a term that you need to be familiar with if you want to stay ahead of the game. In this blog post, we will explore the definition […]

What is Rescind? Definition The term “rescind” is often used in the legal field, particularly in contracts. But what does it actually mean? In general, to rescind something means to cancel it or make it void. In the context of a contract, this would mean that both parties are released from their obligations under the […]

What are Contract Renewal Reminders? Definition You might be familiar with the term “contract renewal reminder” if you’ve ever been a customer of a company that provides a service on a contractual basis. If you’re not familiar with the term, though, a contract renewal reminder is exactly what it sounds like: it’s a notice from […]

What is a Renewal Term? Definition If you’ve ever come across the term “renewal term,” you may have been left wondering what it actually means. A renewal term is a specified period of time during which an insurance policy may be renewed. The length of a renewal term can vary depending on the type of […]

What is a Recital in Contract Management? Definition A recital in contract management is a short paragraph at the beginning of the agreement that sets forth the intention of the parties. It is not legally binding, but it can be helpful in interpreting the contract later on. The use of recitals is particularly common in […]

What is Receivership? Definition In business, the term “receivership” has a specific meaning. It is a legal status that a company can be put into when it is unable to pay its debts. A receiver is appointed by the court to take control of the company’s assets and affairs, and to try to sell them […]

What is Pro Rata? Definition When it comes to business, there are a lot of terms that get thrown around. Some of them are essential to know, while others are more specific and only come up in certain situations. Pro rata is one of those terms. In short, pro rata is a Latin term that […]

What are Plain Language Contracts? Definition Plain language contracts are documents that are easy to read and understand. They use words that are familiar to the average person, and they are free of legal jargon. Plain language contracts are becoming more common in a variety of industries, as they are seen as a way to […]

What does Preamble mean? Definition Preamble (noun): a preliminary or introductory statement; a preface. The word “preamble” has been used in English since the early 1400s. It comes from the Latin word praeambulum, which means “a walk before.” The original meaning of preamble was “an introductory statement or explanation.” In modern usage, a preamble is […]

What is Pro Tempore? Definition Pro tempore is a Latin phrase that literally means “for the time being.” In other words, it refers to someone who is acting in place of another person or in the absence of that person. The term is often used in business settings, as well as in government and politics. […]

What is Quid Pro Quo? Definition Quid pro quo is a Latin phrase that means “something for something.” In other words, it’s an equal exchange of goods or services. This concept is often used in business deals, where each party agrees to give something in order to receive something else of equal value. For example, […]

What is Personally Identifiable information (PII)? Definition PII stands for Personally Identifiable Information, and it refers to any data that could potentially identify a specific individual. PII can include things like name, address, date of birth, Social Security number, and more. In the age of big data, PII is more important than ever before. With […]

What is a Penalty Clause? Definition A penalty clause is a contractual provision that establishes a predetermined amount of damages to be paid by one party to the other in the event of a breach of contract. Penalty clauses are typically found in construction contracts, loan agreements, and leases. They are designed to deter one […]

What is an Outcomes Based Contract? Definition In business, there is often a lot of talk about “contracts.” But what exactly is a contract? And, more importantly, what is an outcomes based contract? In this blog post, we will explore the definition of an outcomes based contract. We’ll discuss what it is, how it works, […]

What is Optical Character Recognition (OCR)? Definition Optical Character Recognition, or OCR, is the process of converting scanned images of text into text that can be read and edited by a computer. OCR technology is used in a variety of settings, including banks, schools, and offices. While OCR technology has been around for some time, […]

What is an Online Contract Negotiation? Definition Online contract negotiation is the process of negotiating the terms of a contract online, typically between two businesses. It can also refer to the act of negotiating the terms of an online purchase, such as when buying a car or home. The term “online contract negotiation” can be […]

Novate Contract & Contract Novation Definition A contract is a legally binding agreement between two or more parties. This agreement can be made in writing, orally, or through conduct. The term “contract” often refers to a written document, but it can also refer to an oral agreement or a course of conduct between two parties. […]

What is a Non-Disclosure Agreement (NDA)? Definition A non-disclosure agreement (NDA) is a formal contract between two parties that establishes a confidential relationship. The purpose of an NDA is to protect information from being disclosed without the permission of the person who owns the information. An NDA can be used in a variety of situations, […]

What is Natural Language Processing? Definition Natural Language Processing (NLP) is a subfield of Artificial Intelligence that deals with the interaction between humans and computers using natural language. The goals of NLP are to develop techniques to enable computers to automatically process and understand large amounts of natural language data. This includes tasks such as […]

What is Mutatis Mutandis? Definition In Latin, the phrase mutatis mutandis means “the necessary changes having been made”. It is used to indicate that, although there may be some differences, the overall situation is similar enough to warrant the same response. The phrase is often used in legal contexts, as well as in business and […]

What is Misrepresentation? Definition Misrepresentation is a false or misleading statement that is made about a product or service. It can be an intentional lie or an unintentional error. A misrepresentation can be made in advertising, on labels, in contracts, and even in conversation. If you’ve ever been misled by a salesperson or advertiser, then […]

What is a Material Breach? Definition When it comes to business contracts, a material breach is defined as a failure to perform contractual obligations in a manner that would deprive the other party of the benefit they expected from the contract. This can be a result of either an intentional act or negligence on the […]

What is a Material Contract Breach? Definition In business, a contract is an agreement between two parties to provide or receive goods, services, or payment. Each party agrees to do (or not do) something in exchange for the other party’s actions. However, sometimes one party doesn’t uphold their end of the agreement. This is called […]

What is Memorandum of Understanding? Definition A Memorandum of Understanding, also known as an MoU, is a document that two parties use to agree to work together on a specific project or to exchange information. The MoU spells out the expectations, roles, and responsibilities of each party. It can be used for business relationships, research […]

What is a Master Service Agreement (MSA)? Definition In business, a Master Service Agreement (MSA) is a contract between two parties that establishes the terms and conditions under which one party will provide services to the other. An MSA can be used in a variety of business relationships, but is most commonly seen in outsourcing […]

What is Mass Actions? Definition What is mass actions? What does it mean for a company or individual to take mass action? In short, mass actions are a type of civil disobedience where people engage in peaceful protests or acts of defiance en masse. The goal is usually to send a message or bring awareness […]

What is Mala Fide? Definition Mala fide is a Latin phrase meaning “in bad faith”. It is used to describe someone who has deliberately acted in a dishonest or malicious way. The term is often used in legal contexts, specifically in contract law. When someone is said to have breached their contract mala fide, it […]

What is Market Testing? Definition Market testing is the process of assessing customer reaction to a product or service before it is launched. The purpose of market testing is to determine whether there is a potential market for the product or service and what features of the offering are most appealing to consumers. Market testing […]

What is Liquidation? Definition Liquidation is the process of selling off assets in order to pay back creditors. This can happen either voluntarily, through bankruptcy, or involuntarily, through foreclosure. In either case, liquidation is a last resort option for businesses or individuals who are unable to pay their debts. While liquidation may seem like a […]

What is Limitation of Liability? Definition You’ve probably seen the phrase “limitation of liability” before, but do you know what it actually means? In short, limitation of liability is a legal term that refers to the extent to which someone can be held liable for damages. This definition may seem straightforward enough, but the concept […]

What is Litigation? Definition Lawsuits are a dime a dozen these days. We see them in the news, on television, and even in our personal lives. But what exactly is litigation? In its simplest form, litigation is the process of taking legal action against another person or company. This can be in the form of […]

What is Limited Liability? Definition In business, the term “limited liability” refers to the legal protection that shareholders have from being held personally liable for the debts and obligations of the company. Put simply, it means that shareholders are only liable for the amount of money they have invested in the company. This type of […]

What is Liability? Definition “Liability” is a legal term used to describe the responsibilities that people and businesses have to others. When you hear the word “liability,” you might think of an individual being held responsible for their actions. However, businesses can also be held liable for the actions of their employees or for products […]

What is a Limitation Clause? Definition A limitation clause is a contract provision that seeks to limit the liability of one or more parties to the contract in the event of a breach of the agreement. The purpose of such a clause is to allocate the risk between the parties involved in the contract and […]

What is Legislation? Definition Legislation, also known as statutory law, is a set of written laws that have been enacted by a legislature or other governing body. The purpose of these laws is to regulate the conduct of people and organizations within a jurisdiction. There are many different types of legislation, ranging from local ordinances […]

What is a Legally Binding Contract? Definition Perhaps you’ve been thinking about starting your own business. Or, maybe you’re already in the process of running a business, and you want to make sure you have all your ducks in a row. In either case, it’s important to know about legally binding contracts—what they are and […]

What is a Letter Of Intent? Definition A letter of intent (LOI) is a document that expresses your intention to do business with another party. The LOI outlines the terms of the proposed transaction and serves as a legally binding agreement between you and the other party. For example, let’s say you’re a small business […]

What is Lessons Learned? Definition In project management, the term “lessons learned” refers to the information gained from previous projects that can be applied to future projects. This information includes both positive and negative experiences, as well as successes and failures. The purpose of documenting lessons learned is to improve the efficiency and effectiveness of […]