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Legally Binding Contract

January 25th, 2010

A marriage, signing a lease, getting a loan, opening a checking account are all legally binding contracts. A legally binding contract means that one agrees to certain clauses outlined in a specified contract. The terms and conditions of the contract dictate what sort of behavior you’re governed by. Violating a legally binding contract either causes the contract to become void or cause legal repercussions.

If you sign a year long lease to live in an apartment you’ve entered an agreement with your landord. The agreement may contain monthly payment terms, upkeep of the apartment, what condition the apartment needs to be left in if vacating the apartment, how much the early termination fee is, etc.

On the other side of the agreement the landlord also has certain obligations he must uphold. He must make any necessary repairs and keep the house up to code. If the tenant breaks the lease they may be subject to monetary penalties. If the landlord breaks the lease the contract is deemed voided and the tenant is free to leave the apartment with no legal repercussions.

Using software or even visiting a website may also require a set of terms and conditions to be agreed to. US courts have recently ruled that agreements made over the internet are legally binding. If you break an agreement made over the internet you may face legal repercussions. An example of a legally binding contract with software is that the user agrees not to copy and distribute the software also known as pirating.

Marriage is also a legally binding contract. People who get married are bound to uphold the marriage unless it is voided. To end a marriage you need to go to court to legally void the marriage contract. Until you legally end a marriage you’re still legally bound in marriage.

personal finance

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