Clear explanations of 500+ contract clauses, written in plain English for businesses and individuals.
This clause says you must give one customer the same price, terms, or conditions you give to any other similar customer. It matters because it locks you into pricing and prevents you from offering better deals to other buyers. For example, if you sel
Read More →This clause says what happens if your company gets bought, merges with another company, or changes ownership significantly. It matters because the other party might want to end the contract, renegotiate it, or demand payment if you're taken over—they
Read More →This clause requires you to buy a minimum amount of goods or services each month or year—for example, "you must purchase at least 1,000 units annually." Minimum purchase clauses protect the seller's revenue but create financial risk for you if your b
Read More →This clause prevents you from working with competitors or doing similar business elsewhere—for example, a distributor might require you to sell only their products in your region. Exclusivity clauses are legally enforceable in the UK and US if they'r
Read More →This clause describes what you're actually buying in unclear terms—for example, "consulting services as needed" or "reasonable support." Vague language creates disputes because you and the other party may have completely different expectations about
Read More →This clause lets one party (usually the company selling to you) raise prices whenever they want, sometimes with only 30 days' notice. While businesses do face real cost increases, an unlimited price increase clause gives them total control and leaves
Read More →This clause automatically extends your contract for another term (often a year) unless you actively notify the other party before a deadline—sometimes 30 or 60 days before expiry. Many people forget to cancel and suddenly find themselves locked in fo
Read More →This clause prevents you from working for competitors or starting a competing business for a set time period (often 1-5 years) after the contract ends. Courts will only enforce non-competes if they're "reasonable" in scope, geography, and duration—bu
Read More →This clause lets one party (usually the bigger, stronger party) change the contract terms whenever they want, without your agreement. This is high-risk because it removes your legal certainty: the deal you signed today might be completely different t
Read More →This clause says you won't get paid until 60+ days after you've delivered the work (or sometimes after the invoice date). This creates cash flow problems: you've spent money doing the work, but won't see payment for 2+ months. In the UK and US, there
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