Agreement vs Contract (Simple Difference Explained)
Most people sign contracts without fully understanding them. That’s where costly mistakes happen.
An agreement is a general understanding between parties.
A contract is legally enforceable.
Key differences:
1. Legal enforceability
Contracts are binding.
2. Structure
Contracts are formal.
3. Consequences
Contracts have legal implications.
Real Risk:
Confusing both can lead to legal trouble.
⚠️ One bad clause can cost you money