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Definition of Recital in Contract

By July 16, 2023No Comments

As a professional, I understand the importance of clarity and accuracy in legal writing. In the field of contracts, one term that often comes up is “recital.” But what exactly does this term mean?

In contract law, a recital is a statement that provides background information or context for a contract. It is often found at the beginning of a contract and outlines the reasons why the parties are entering into the agreement. Recitals can include information such as the parties` goals and objectives, the history of their relationship, or any relevant legal or factual background that is important to understand in order to interpret the rest of the contract.

Recitals are not typically legally binding, but they can be used to clarify the intent of the parties or to provide context for interpreting other provisions in the contract. For example, a recital might state that the parties are entering into an agreement “to facilitate the transfer of ownership” of a certain property. While this statement is not a binding obligation in itself, it helps to explain why the parties are agreeing to the specific terms and conditions that follow.

It`s important to note that recitals are not the same as “representations and warranties,” which are statements that parties make about the accuracy of certain facts. Recitals generally provide context, while representations and warranties create legally binding obligations.

In conclusion, recitals are an important component of contracts that provide contextual information to help interpret the rest of the agreement. While they are not legally binding, they can be useful in understanding the intent of the parties and clarifying the purpose behind the specific terms and conditions of the contract. As a professional, it`s important to ensure that these terms are clearly defined and explained in legal writing.