This section contains definitions pertaining to both written and unwritten agreements, including but not limited various types of legal instruments such as contracts, charging instruments, deeds, and securities such as bonds, liens, mortgages.  This section also contains that which arises from various types of agreements such as obligations and fiduciary relationships.

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agreement:
(15C)

1. A mutual understanding between two or more persons about their relative rights and duties regarding past or future performances; a manifestation of mutual assent by two or more persons.

2. The parties’ actual bargain as found in their language or by implication from other circumstances, including course of dealing, usage of trade, and course of performance. UCC § 1-201(b)(3). [1]

1. The union of two or more minds in a thing done or to be done; a coming together of parties in opinion or determination; the union of two or more minds in a thing done or to be done.  Woodworth v State, 20 Tex App 375, 380.

A contract where made upon a sufficient consideration to do, or refrain from doing, a particular lawful thing.  17 Am J2d Contr § 1.

The legal import of the word includes not only a promise, but also the consideration for which the promise was made.  Hunt v Adams, 5 Mass 358.
      See articles of agreement; compact; contract. [2]

1. A contract.

2. A concurrence of intention; mutual assent.
     See meeting of the minds.

3. A coming together of parties with respect to a matter of opinion.
     See articles of agreement; collective bargaining agreement; hold harmless agreement; martial agreement; partnership agreement. [3]

     Excerpt from Stephen’s Commentaries on the Laws of England (L. Crispin Warmington ed., 21st ed. 1950):

     “The term ‘agreement,’ although frequently used as synonymous with the word ‘contract,’ is really an expression of greater breadth of meaning and less technicality.  Every contract is an agreement; but not every agreement is a contract. In its colloquial sense, the term ‘agreement’ would include any arrangement between two or more persons intended to affect their relations (whether legal or otherwise) to each other.  An accepted invitation to dinner, for example, would be an agreement in this sense; but it would not be a contract, because it would neither be intended to create, nor would it in fact create, any legal obligation between the parties to it. Further, even an agreement which is intended to affect the legal relations of the parties does not necessarily amount to a contract in the strict sense of the term. For instance, a conveyance of land or a gift of a chattel, though involving an agreement, is . . . not a contract; because its primary legal operation is to effect a transfer of property, and not to create an obligation.” [4]

     Excerpt from 1 Samuel Williston, A Treatise on the Law of Contracts § 2, at 6 (Walter H.E. Jaeger ed., 3d ed. 1957):

     “An agreement, as the courts have said, ‘is nothing more than a manifestation of mutual assent’, by two or more parties legally competent persons to one another. Agreement is in some respects a broader term than contract, or even than bargain or promise. It covers executed sales, gifts, and other transfers of property.” [5]

Related Terms:

legal instruments – formal documents evidencing the granting of right(s) and/or an agreement (duties, entitlements, and liabilities).

• contract – a written agreement between two or more parties creating obligations enforceable &/or recognized at law.
• charging instrument – any of three formal legal documents used to officially charge someone with a crime.
• deed – a written instrument that is signed, sealed, and delivered and that conveys some interest in property.
• guaranty – a written promise to answer for the debt, default, or miscarriage of another person, provided such person does not respond by payment or performance.
• power of attorney – an instrument granting someone authority to act as agent or attorney-in-fact for the grantor, thus creating an agency relationship. — aka letter of attorney; warrant of attorney.
• security – any interest or instrument relating to finances.
  • bond – a written promise acknowledging the obligation to pay a debt; either as money or to perform some act if certain circumstances occur or a certain time elapses.
  • lien – a legal right or proprietary interest a creditor retains in property until the debt &/or duty that it secures is satisfied.
  • mortgage – a conveyance of title to property that is given as security for the payment of a debt or the performance of a duty and that will become void upon payment or performance according to the stipulated terms. — aka (archaically) dead pledge.
• undertaking – a written promise, pledge, or engagement thereby binding the signatory to the obligation; unlike a bond, the principal is not required to sign an undertaking.
• negotiable instrument – a written instrument that is signed by the maker or drawer, includes an unconditional promise or order to pay a specified sum of money, is payable on demand or at a definite time, and is payable to order or to bearer.
  • negotiable – capable of being transferred by delivery or indorsement when the transferee takes the instrument for value, in good faith, and without notice of conflicting title claims or defenses.

That Which May Arise from an Agreements:

obligation – a formal, binding agreement (bond) or acknowledgment of a liability to pay a certain amount, or to perform, or forbear from performing, a certain duty for a particular person(s), whether the duty is imposed by law, contract, promise, oath, duty, or moral responsibility.

fiduciary relationships – one person has a duty to act with a high degree of care for the benefit of another(s) on matters within the scope of the relationship.

• agency – a fiduciary relationship which arises when one person (a principal) manifests assent to another (an agent) that the agent will act on the principal’s behalf, subject to the principal’s control, and. the agent manifests assent or otherwise consents to do so.
• guardian/ward relationship – one person with legal authority has duty to care for another’s person or property, especially because of the other’s infancy, incapacity, or disability.
• settlor/trustee/beneficiary relationship – one person must act with a high degree of care (fiduciary–trustee) in managing the estate of whoever sets up the trust (settlor) in a manner that benefits a beneficiary or beneficiaries.

Types of Agreements:

agreement incident to divorce: See DIVORCE AGREEMENT.

agreement of imperfect obligation: See unenforceable contract under CONTRACT.

agreement of rescission: See RESCISSION (2).

agreement of sale: (18c) An agreement that obligates someone to sell and that may include a corresponding obligation for someone else to buy.

agreement to agree: (1876) 1. An unenforceable agreement that purports to bind two parties to negotiate and enter into a contract; especially, a proposed agreement negotiated with the intent that the final agreement will be embodied in a formal written document and that neither party will be bound until the final agreement is executed. 2. A fully enforceable agreement containing terms that are sufficiently definite as well as adequate consideration, but leaving some details to be worked out by the parties.

     Excerpt from E. Allan Farnsworth’s Contracts (3d ed. 1999):

     “Although the parties [to an agreement with open terms] expect that they will reach agreement on the missing terms, what they expect to happen if they fail to reach agreement is often unclear.  They may understand that there will be no contract at all or they may understand that there will be a contract with the missing term supplied as a matter of law.  If the latter is their understanding, a question arises whether the agreement is one with open terms sufficiently definite to be enforceable or whether it is a mere unenforceable ‘agreement to agree.‘” [6]

agreement to marry: See marriage promise under PROMISE.

agreement to sell: (18c) An agreement that obligates someone to sell.