Contract Letter Examples

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A contract letter commonly consists of a cover letter that includes an agreement or is a cover letter along with a separate contract, to introduce the legal arrangement. Since a contract is a formal legal document that binds two or more parties or companies to respect a certain set of rules and regulations, for a certain amount of time, it’s highly important to specify in the right wording how the agreement needs to be executed. An agreement states crucial conditions and needs to be followed by involved parties. Failure to do so will certainly lead to legal concerns and actions.

Alternatively, contract letters can also be issued by a company to a new employee when he/she joins the organization. Contract letters are also shared between two organizations over the mutual trade of products. Although there are various types of contract letters, the most famous and most frequently used types of contract letters include employee contract letters, non-compete agreements, lease agreements, and customer contracts. Contract denotes that both parties have agreed to some terms and conditions, and they will be held responsible if they end up compromising on any clause. For business owners, business contracts are written quite frequently for hiring people or for sealing a business deal.

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