When it comes to legal agreements, there are various types, each serving a different purpose. One of the simplest types of agreements is known as `agreement under hand`. In this article, we’ll explore what agreement under hand is, its benefits, and limitations.
What is an Agreement under Hand?
An agreement under hand, also known as a simple contract, is a written or verbal contract that does not require any legal formality. In simple terms, it is a legally-binding agreement between two parties that is not drafted by a lawyer. The agreement can be in any form, such as an email, letter, or text message.
Benefits of an Agreement under Hand
One of the main benefits of an agreement under hand is that it is easy to create, and there are no formalities or legal costs involved in its creation. It is a quick and simple way to create a legally-binding contract between two parties. This is especially useful for smaller agreements, such as buying or selling a used car, or renting a property.
Another benefit of an agreement under hand is that it can be personalized according to the requirements of the parties involved. This means that the contract can be tailored to the specific needs of both parties, which can make it more suitable and easier to understand.
Limitations of an Agreement under Hand
While agreement under hand is an easy and quick way to create a legally-binding contract, it does have limitations. One of the main limitations is that it is not always enforceable in court. This is because there is no legal formality involved in the creation of the contract, which means that it may not hold up in court.
Another limitation of agreement under hand is that it can be difficult to prove the existence of the contract. This is because there is no formal documentation involved in the creation of the contract, which means that it can be challenging to prove that the contract existed in the first place.
Overall, agreement under hand is a simple and easy way to create a legally-binding agreement between two parties. It is quick to create and can be tailored to the specific needs of the parties involved. However, it does have limitations, which means that it may not always be enforceable in court. If you are unsure about whether agreement under hand is the right option for your requirements, it is advisable to seek legal advice.