representations
Definition
Representations are statements of fact that one party makes to another to convince them to enter into a deal or agreement. If you sign a contract based on someone's representations and those statements turn out to be false, you may have legal grounds to cancel the contract or sue for damages.
Example
A seller tells you their restaurant equipment is only two years old and in perfect working condition, and you buy it based on that claim, but later discover the equipment is actually eight years old and needs major repairs.
Watch Out
Always get important representations written into your contracts rather than relying on verbal promises, because proving what someone said out loud is much harder in court.
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.