Upon agreement by the parties: What it means and why it`s important
When it comes to legal agreements, one phrase that often pops up is “upon agreement by the parties.” But what does it mean, and why is it important to include?
First, let`s define what “upon agreement by the parties” means. Essentially, it means that both parties (or all parties involved) have come to a mutual understanding and have given their consent to the terms of the agreement. This can be through a written contract or verbal agreement.
Including this phrase in legal agreements is important for a few reasons. Firstly, it ensures that both parties have a clear understanding of what they are agreeing to. By requiring mutual agreement, there`s less chance of miscommunication or misunderstandings down the line.
Additionally, including “upon agreement by the parties” can help protect both parties in the event of a dispute or disagreement. If there`s ever a question of whether someone agreed to certain terms, having this phrase can act as proof that both parties were aware of and consented to the terms of the agreement.
So, if you`re drafting a legal agreement or contract, be sure to include “upon agreement by the parties” to ensure a clear understanding and protect both parties` interests. It may seem like a small detail, but it can make a big difference in the long run.