Difference between Written and Oral Contract

As a copy editor with extensive experience in search engine optimization (SEO), I understand the importance of producing content that is informative, engaging, and optimized for search engines. In this article, we will discuss the differences between written and oral contracts, two types of agreements that individuals and businesses may encounter in their personal and professional lives.

A contract is a legal agreement between two or more parties that outlines the terms and conditions of a transaction or relationship. Contracts can be written or oral, and both are legally binding under certain conditions.

A written contract is a document that explicitly outlines the terms and conditions of an agreement between two or more parties. This type of contract is typically drafted by an attorney and signed by all parties involved. A written contract provides a clear record of the terms and conditions of the agreement, and it is often used in commercial transactions where large sums of money are at stake.

One of the primary advantages of a written contract is that it provides a clear record of the agreement`s terms and conditions. This can be very important in situations where disputes arise between the parties involved. A written contract can be used to prove what was agreed upon, and it can serve as evidence in a court of law.

On the other hand, an oral contract is an agreement that is made verbally between two or more parties. This type of contract is often used in personal or informal business relationships. For example, an oral contract might be made between friends who agree to split the cost of a vacation rental or between two small business owners who agree to a partnership without a written agreement.

One of the primary disadvantages of an oral contract is that it can be difficult to prove the terms and conditions of the agreement. This is because there is no written record of the agreement, and memories can be faulty or unreliable. As a result, disputes can arise, and it can be challenging to resolve them without evidence of what was agreed upon.

In conclusion, while both written and oral contracts are legally binding, there are distinct differences between the two. A written contract provides a clear record of the terms and conditions of an agreement, while an oral contract can be difficult to prove in the event of a dispute. When entering into any agreement, it`s important to carefully consider which type of contract is best suited to your needs and to seek the advice of an attorney if necessary.