Performance Contract
/ˌpɜːrfɔːrməns ˈkɒntrækt/
Definitions
- (n.) A legally binding agreement specifying the terms under which one party performs certain services or obligations for another, often used in employment, construction, or service arrangements.
The company signed a performance contract with the contractor to complete the project by December.
Forms
- performance contract
- performance contracts
Related terms
See also
Commentary
Performance contracts often include measurable standards or deliverables, and careful drafting is advised to define criteria for satisfactory performance and remedies for nonperformance.
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.