Legal glossary

Agreement to enter into a contract on offered terms.

Example: Paying an invoice may constitute acceptance of an offer.

A legal act declaring a document or deal void from the start.

Written authorization to act on someone’s behalf.

Example: A POA to obtain documents or sign contracts.

An advance sum to secure performance; rules vary by law.

Collateral securing an obligation; a creditor may satisfy claims from it.

A person who brings a claim to court.

A time limit for filing a claim to protect a right.

The other party to a contract.

A sum payable for breach (delay, improper performance).

Certification of a document by a notary (where applicable).

A proposal to conclude a contract with essential terms.

A person against whom a claim is filed.

A written demand sent before going to court.

Prolongation of a contract term.

A right of a party to recover costs from another party.

Liability where a creditor may claim full performance from any debtor.

Private dispute resolution chosen by the parties (if applicable).

Extraordinary events that excuse non-performance under conditions.

Transfer of a claim (right to demand) to another creditor.