Incentive Agreement
/ɪnˈsɛntɪv əˈɡriːmənt/
Definitions
- (n.) A contractual arrangement providing rewards or penalties to motivate performance or behavior, often used in employment or commercial contexts.
The company signed an incentive agreement to encourage employees to meet sales targets.
Forms
- incentive agreement
- incentive agreements
Related terms
See also
Commentary
Incentive agreements should clearly specify the conditions triggering rewards or penalties to avoid disputes over interpretation.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.