6 DEFINITIONS Sample Clauses

The 'Definitions' clause establishes the specific meanings of key terms used throughout the contract. It typically lists important words or phrases and assigns each a precise definition, ensuring that all parties interpret these terms consistently. For example, it may clarify whether 'business day' excludes public holidays or define what constitutes a 'confidential information.' By providing clear definitions, this clause eliminates ambiguity and reduces the risk of misunderstandings or disputes over terminology in the agreement.