Lesson 13: Recitals

Welcome to Lesson 13 of our instructable on Key Contract Clauses. In this lesson, we will explore the concept of recitals in contracts. Recitals are like the catchy opening number in a musical—they provide the background or context of the agreement. Found at the beginning of the document, they help to set the stage for the main act: the operative provisions that follow.

Purpose of Recitals

Recitals serve multiple purposes:

  • Outline the background of the agreement.
  • Provide the rationale for the contract.
  • Help interpret the contract terms.

Structure of Recitals

Recitals generally follow a structured format:

  • Introduction: This section introduces the parties involved in the contract.
  • Background: This section provides the history and context leading up to the contract.
  • Purpose: This section states the objectives of the contract.

This Agreement is made on [Date] between [Party A] and [Party B].

WHEREAS, [Party A] is engaged in [Business Description], and

WHEREAS, [Party B] desires to [Purpose of the Contract].

NOW, THEREFORE, in consideration of the mutual covenants and promises herein contained, the parties agree as follows:

Example Diagram

graph TD; A["Party A"] -->|"Enters Into"| B["Contract"]; B -->|"Contains"| C["Recitals"]; C --> D["Introduction"]; C --> E["Background"]; C --> F["Purpose"];

Importance in Contract Drafting

Understanding and correctly drafting recitals is essential for creating a clear and enforceable contract. Recitals provide clarity and context, which can be crucial in case of disputes or ambiguities in the contract terms.

Further Reading

For more on contract fundamentals, check out our other lessons:

Additionally, for in-depth reading, check out Examples & Explanations: Contracts by Brian A. Blum on Amazon.

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