agreement term
Definition
An agreement term is simply the length of time a contract stays active and legally binding on everyone who signed it. Think of it as the contract's lifespan, from the day it starts to the day it officially ends. Once the term expires, the parties are no longer obligated to each other unless they renew or sign a new agreement.
Example
If you sign a one-year lease for your office space starting January 1st, that one-year period is the agreement term, meaning your landlord must provide the space and you must pay rent until December 31st.
Watch Out
Pay close attention to whether your contract automatically renews at the end of its term, because missing a cancellation deadline can lock you into another full cycle before you even realize it.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.