What is an agreement in legal terms?

From a legal standpoint, an “agreement” is a mutual understanding between two or more persons. That agreement is not legally binding. A great example of this would be a letter of intent, where both parties want to ensure a proper understanding before they commit to a contract. To make an agreement legally binding, something of value — called consideration — must be exchanged as part of the agreement. If no consideration is provided, then an agreement is not legally binding. However, it’s important to note that contracts are often called agreements. In the business world, signing an “agreement” is often considered common parlance for signing a contract.

Is every agreement a contract?

No, but contracts are often called agreements. An agreement becomes a contract when: It offers terms with unconditional acceptance Involves parties with the legal capacity to understand the terms and obligations of the agreement Exchanges something of value It indicates that the agreement is legally binding When those terms are met, the agreement is a contract. From a business perspective, it is generally assumed that both parties intended to enter into a contract. Keep in mind that the item of value (consideration) being exchanged is often reflected by a change in the original position of either party before entering into the contract. While consideration can be something as simple as an exchange of money for goods, consideration might also be intangible. For example: If your small business promises to deliver 20 hours of work to a subcontractor per week for a set period of time — thereby requiring the subcontractor to commit to 20 hours of exclusive work for your organization each week for the duration of the contract — that guarantee of work would be deemed “consideration” in the eyes of a court. Assuming that your agreement doesn’t include clauses about variable hours, you may be responsible for paying the subcontractor for 20 hours worth of work each week whether or not you have the work to deliver to them. If you’re ever unsure about what may or may not be considered a contract, it’s always best to seek legal advice before entering into any kind of agreement with an outside party.

Do my agreements require a signature?

While it’s a common misconception, neither contracts nor agreements require a signature in order to become legally binding. In fact, legally binding contracts don’t even need to be written down, as evidenced by handshake deals and oral contracts! However, it’s always best (and safer) to get everything in writing in order to prevent misunderstandings or miscommunication. Take the time to collect the right contact information, define the terms of an agreement, and create delivery and payment schedules that make sense before signing anything. Creating a high-quality legal document could save both parties thousands in legal fees later on. PandaDoc makes this easy by allowing parties to create contracts, negotiate terms, and sign documents using legally binding electronic signatures all inside the same platform. Whether you can get by with a one-page service agreement or you need a vetted legal document with contingencies at every step, PandaDoc has you covered.

Is an agreement binding?

Once something of value is exchanged between knowing parties, an agreement becomes binding. This item of value is called consideration, and this practice is true even outside the business world. Real estate operates on housing contracts, room rental agreements, sublease agreements, roommate agreements, and more. When renters sign a lease, often for a 12-month rental, they are entering into a binding agreement by consenting to pay something of value (money) for the right to live in a space for a set period of time. Binding agreements are prevalent in every aspect of societal life. Even child custody and separation agreements are considered a type of contract based on the laws of the state.

How do I write an agreement?

In order to write an effective agreement, you’ll need to determine if you intend it to be legally binding and what you plan to offer. In the case of real estate, the offer is straightforward. However, for many business operations, that offer may not be as clear. Sales agreements or payment agreements often can’t be written as a boilerplate and require negotiation. This is why proposals and quotes are common before a contract is created. No matter what kind of agreement you want to create, the PandaDoc template library has hundreds of examples to help you get started. Browse through our library of contract templates and find one that suits your needs. After you finish your draft, we recommend that you consult legal experts to help you finalize more sensitive contracts. Once you’ve created an effective agreement, you can upload it to the PandaDoc editor and use our software to insert custom variables and fields for electronic signatures before sending your documents to your service providers and employees.

What kind of templates can I create with PandaDoc?

The possibilities are limitless. Because any document in PandaDoc can become a template, you can create templates from simple invoices to complex services agreements. This can include: Confidentiality agreement templates Rental agreement templates Invoice templates Purchase agreement templates Standard agency agreement template NDA and confidentiality templates And more To expedite services further, you can even save modified versions of our documents inside your PandaDoc library as personal contract templates. Creating complex legal agreement templates or consulting agreement templates can save hours of time when onboarding new clients.

Can I use your agreement templates in Word?

Yes and no. While you can download our templates in a PDF format and import them into Microsoft Word, they won’t be fully editable as they would be in PandaDoc. Using the PandaDoc document editor, you can write out your contract details, format the document in a way that represents your business, and even use specialized tools to set pricing and collect payment details. By editing our templates in Word, you may find yourself limited in terms of document creation.

Agreement templates

Professionally designed agreements are a key ingredient in any business relationship. Whether you’re a freelancer, a large corporation, or something in between, our agreement templates can help you protect your legal rights while saving time during document creation. Download any template today to get started.

Arkansas Apartment Lease Agreement

An Arkansas apartment lease agreement is a legal document that a property owner can utilize to lease their property to a suitable tenant. This agreement is typically drafted once the tenant expresses interest in the property and engages in discussions with the landlord to settle on the terms of the contract.

Colorado Apartment Lease Agreement

A Colorado Apartment Lease Agreement is a contract that establishes the rules and conditions for renting a residential property. It includes important details such as the landlord and tenant’s identities, the rental property’s address, the lease term’s length, payment schedules, and the rights and duties of both parties.

Connecticut Apartment Lease Agreement

A Connecticut apartment lease agreement is a legally binding document between a property owner or their representative and a tenant who wishes to rent the property. The tenant commits to utilizing the property, which could be for residential or commercial use, for a specified duration. In return, the tenant makes a monthly payment to the property owner.

Delaware Apartment Lease Agreement

A Delaware Apartment Lease Agreement, distinct from a rental application, is a legally binding document between the property owner and the tenant. This agreement outlines the obligations and rights of both parties during the rental period. It covers key aspects such as the rent amount, the lease length, security deposit details, penalties for late payments, and other crucial terms and conditions.

Hawaii Apartment Lease Agreement

A Hawaii apartment lease agreement is a legal contract that permits a property owner to lease their residential or commercial space to a suitable tenant. Typically, before the lease is finalized, the landlord asks the tenant to fill out a rental application and pay a nominal fee for a credit check. If the tenant’s application is accepted, they’re provided with a report detailing the property’s current condition, including any existing damages. The lease agreement is then signed, formalizing the arrangement.

Idaho Apartment Lease Agreement

An Idaho Apartment Lease Agreement is a formal arrangement between a property owner and a potential occupant detailing the stipulations for residing in a rental property within Idaho. This agreement delineates the privileges and obligations of both parties throughout the lease.

Indiana Apartment Lease Agreement

Indiana is a landlord-friendly state, but that doesn’t mean that landlords can add any terms to the Indiana apartment lease agreement. Specific legal requirements ensure the lease is valid and enforceable in a court of law. At PandaDoc, we discuss the specifics of these legal aspects. We highlight the significant terms, clauses, and disclosures you must include in this agreement.

Kansas Apartment Lease Agreement

A written Kansas apartment lease agreement is a legit way to ensure both parties are on the same page when leasing an apartment. Landlords explain the lease terms to their tenants. Further, tenants can refer back to this document to see what their rights are. However, when drawing up a lease, you must include a few essential terms.

Iowa Apartment Lease Agreement

An Iowa apartment lease agreement comes in various forms, from fixed-term and month-to-month contracts to written and oral contracts. However, all of these leases have specific legal aspects you must include. These terms and clauses give your contract a lawful purpose, and a court of law can enforce them. That’s why we delve into what specific terms and disclosures you must add to your contract when drawing it up.

Kentucky Apartment Lease Agreement

A Kentucky Apartment Lease Agreement is a legally binding document outlining the terms and conditions for renting residential space between a property owner and a tenant who pays rent. The process typically begins with the prospective tenant inspecting the property. Following this, they’re usually required to complete a rental application form.

Louisiana Apartment Lease Agreement

In a Louisiana Apartment Lease Agreement, it’s customary for property owners to utilize a standard residential lease agreement as a legal instrument to establish tenancy. This agreement, typically set for a predetermined duration, most commonly one (1) year, legally binds the tenant to the property.

Maine Apartment Lease Agreement

A Maine Apartment Lease Agreement is a legally binding document that outlines the stipulations and conditions of an apartment rental arrangement. It sets forth clear guidelines by specifying the monthly rental amount, the due date for payment, the length of the lease, details about the security deposit, pet regulations, clauses pertaining to damages and liability, and all other terms related to the rental.

Maryland Apartment Lease Agreement

A Maryland Apartment Lease Agreement is a legally binding document between a property owner and a renter outlining the terms for leasing a residential or apartment space. To ensure you adhere to the state laws, use our customizable Maryland Apartment Lease Agreement template.

Massachusetts Apartment Lease Agreement

A Massachusetts apartment lease agreement serves as a legal contract that delineates the terms and conditions of the tenancy. From payment schedules to maintenance responsibilities and pet policies, each clause significantly shapes the rental experience.

Minnesota Apartment Lease Agreement

A Minnesota apartment lease agreement is essential for renters and landlords to understand. It spells out the terms of interaction between both parties during the tenancy and protects their rights. This agreement also delineates duties and remedies for a trouble-free stay.

Mississippi Apartment Lease Agreement

A Mississippi apartment lease agreement legally binds and governs tenants’ and landlords’ relationship during the rental period. The lease agreement is typically signed before the tenant moves into the apartment but may also be signed during renewal. This written document is a reference point for the landlord and tenant, detailing their respective rights, responsibilities, and obligations throughout the tenancy.

Missouri Apartment Lease Agreement

A Missouri apartment lease agreement is a contract drafted to govern tenancy. While verbal agreements can be considered valid in some instances, having the lease agreement in writing is highly recommended. Lease agreements are typically signed before the tenant moves into the apartment. This ensures that both parties know their rights and obligations from the outset.

Nebraska Apartment Lease Agreement

You can download our legally binding Nebraska Apartment Lease Agreement template to adhere to state laws.

Montana Apartment Lease Agreement

Ensure you adhere to state laws with our professional Montana Apartment Lease Agreement template.

Nevada Apartment Lease Agreement

A Nevada Apartment Lease Agreement is a legally binding document crafted in compliance with Nevada state regulations, establishing a relationship between a landlord and a tenant. This agreement permits the tenant to occupy the property in exchange for a monthly rental payment to the landlord, along with any additional utility costs. Typically, this agreement is set for a fixed duration, often one year, and it’s common for the landlord to request that the tenant complete a rental application prior to finalizing the agreement.

New Hampshire Apartment Lease Agreement

A New Hampshire Apartment Lease Agreement is a binding document between a property owner and a renter. This contract delineates the rental cost and the obligations of both parties. Typically, a landlord will check the prospective tenant’s credit history and income as part of the approval process. This ensures that the tenant has the financial capability to fulfill the agreement terms.

Alaska Apartment Lease Agreement

Navigating the Alaska apartment lease market demands a grasp of the state’s distinct regulations. Understanding state lease rules is crucial for a smooth tenancy, from security deposit limits to landlord-tenant responsibilities. This includes learning about key regulations, including unique clauses for heating, snow removal, and wildlife encounters. Explore how to navigate an Alaska apartment lease agreement with confidence and efficiency.

New Mexico Apartment Lease Agreement

The New Mexico Apartment Lease Agreement is a binding commitment between property owners and renters. These contracts outline the monthly rental fee, specify which party is accountable for various utilities, and include property-specific rules, such as pet policies.

North Dakota Apartment Lease Agreement

When leasing an apartment, having a written lease is a good idea. This document will help detail the relationship between the landlord and tenant and solve disagreements more easily. That’s why, even though written agreements aren’t required for leases shorter than a year, we recommend you always use a North Dakota apartment lease agreement.

Oklahoma Apartment Lease Agreement

Oklahoma landlords don’t need to draw up written agreements, as oral leases are enforceable. However, there are various benefits to a written lease, such as being easier to use in a court of law. Still, drawing up an Oklahoma apartment lease agreement means you must include a few essential terms and disclosures.

Oregon Apartment Lease Agreement

Oregon agreements with a term of less than a year can be oral or written. However, while written agreements are only required with leases lasting more than a year, always having one is a good idea. Still, landlords should know the legal aspects they must consider when creating an Oregon apartment lease agreement.

South Carolina Apartment Lease Agreement

A South Carolina apartment lease agreement is legally binding and ensures a harmonious relationship between the landlord and tenant. Its key purpose is to protect their rights and obligations throughout the lease. It also includes other details crucial to the tenancy, such as security deposits and access rights.

South Dakota Apartment Lease Agreement

The South Dakota rental market has adequate provisions to protect landlords and tenants. However, they only apply when parties sign a South Dakota apartment lease agreement. This contract generally outlines what parties can expect of each other during the rental period. It also spells out the course of action when terms are breached.

Tennessee Apartment Lease Agreement

A Tennessee apartment lease agreement defines tenant rights and responsibilities and the landlord’s duties following the law. This is represented through crucial sections such as the security deposit clause, mandatory disclosures, access rights, and more.

Utah Apartment Lease Agreement

In Utah, it’s essential to have a written Utah apartment lease agreement. This contract, typically signed before the tenant moves in, ensures a smooth stay.

Vermont Apartment Lease Agreement

A Vermont apartment lease agreement serves as the foundational contract between landlords and tenants, governing the terms of rental arrangements. Although not obligatory, documenting the lease in writing is strongly advised to clarify rights and obligations. Typically, the agreement is signed before occupancy, outlining rental terms, including duration, rent, and rules.

Washington Apartment Lease Agreement

In Washington state, leases over 12 months old must be in writing. A written Washington apartment lease apartment is highly recommended for clarity and legal protection for landlords and tenants. It serves as a crucial document outlining the terms and conditions of the tenancy, including rental duration.

West Virginia Apartment Lease Agreement

A West Virginia apartment lease agreement is legally binding between a landlord and a tenant. It spells out the terms and conditions of renting residential property in the state. The contract provides details on the rental terms like monthly rent, security deposit, length of lease, and responsibilities of both parties.

Wisconsin Apartment Lease Agreement

While Wisconsin laws don’t require leases to be in writing, it’s an excellent way to ensure both parties are on the same page. Still, a Wisconsin apartment lease agreement has multiple laws applicable to it. We examine these laws to ensure you know what to add to your document to make it eligible in a court of law.

Alabama Room Rental Agreement

Alabama doesn’t require a written lease for rentals that last less than a year. However, the problem with oral agreements is that it’s difficult to prove who said what. If you want to prevent it from becoming a “he said, she said” situation, then draw up an Alabama room rental agreement. However, always ensure you include the necessary legal terms and conditions.

Arizona Room Rental Agreement

An Arizona room rental agreement doesn’t have to be written if the tenancy lasts less than 12 months. However, we recommend always having a written contract because parties can easily reference it. Whether you decide on a written or oral contract, you must discuss some legal aspects. Having a written agreement is a surefire way to ensure all parties are on the same page.

Arkansas Room Rental Agreement

An Arkansas room rental agreement is between the landlord and a tenant renting a room in the landlord’s house. This house can be the lessor’s private residence or a shared house with other lessees. Regardless of which it is, you must be aware of the legal considerations of such an agreement. We discuss the legal terms and clauses you must add to this contract.

Colorado Room Rental Agreement

When renting rooms in Colorado, you must remember some legal aspects. Without these legal terms and clauses, the contract might be invalid in the eyes of the law. We explain the laws on security deposit and what lessors should add to a Colorado room rental agreement.

Connecticut Room Rental Agreement

A Connecticut room rental agreement is a legally binding contract outlining terms and conditions between a property owner and a tenant renting a room.

Delaware Room Rental Agreement

A Delaware room rental agreement formalizes the agreement between a property owner and a tenant taking up a room in a home or apartment. This contract, typically signed before moving in, protects both parties following the law. This agreement is also a crucial reference point in case of conflict.

Hawaii Room Rental Agreement

Renting a room in the Aloha state comes with legal and statutory protections in a Hawaii room rental agreement. This agreement ensures the tenant’s rights are protected and the landlords fulfill their obligations. Though not notarized, this agreement is enforceable after both parties sign it.

Idaho Room Rental Agreement

In Idaho, having a written room agreement guarantees a secure, trouble-free tenancy. Upon signing an Idaho room rental agreement, you can be sure to enjoy state protection for renters. As a landlord, state laws and ordinances also uphold your rights in the arrangement.

Indiana Room Rental Agreement

An Indiana Room Rental Agreement is a legally binding contract that outlines the terms and conditions between the owner and the tenant. This agreement is essential when renting a room out on your own property. It can also apply to a property you own but don’t reside in it.

Iowa Room Rental Agreement

An Iowa Room Rental Agreement is a legally enforceable agreement between a landlord and an individual to whom they plan to rent a room. This document meticulously outlines the landlords’ and tenants’ responsibilities and expectations. The contract becomes operative and obligatory for the mentioned parties upon its signing.

Kansas Room Rental Agreement

The Kansas Room Rental Agreement typically includes house rules, which specify guidelines for using shared common spaces, maintaining quiet hours, and other important aspects of communal living. These rules are designed to ensure a harmonious living environment for everyone. This document is essential in managing expectations and preventing conflicts in shared living situations.

Kentucky Room Rental Agreement

The Kentucky Room Rental Agreement is a legally enforceable pact between a landlord and a tenant or tenants who intend to lease a room(s). This written contract meticulously delineates the anticipated roles and accountabilities of the occupants.

Louisiana Room Rental Agreement

The Louisiana Room Rental Agreement is a legally binding document that outlines the responsibilities and rights of the landlord and tenant of a rental property in Louisiana. This agreement stipulates the terms of use for the common areas within the property.

Maine Room Rental Agreement

The Maine Room Rental Agreement legally binds a landlord and the tenant who plans to lease a room. The responsibilities and expectations of the owner and the tenant are comprehensively articulated in this document. The contract becomes operative and obligatory for the named parties upon its signing.