Verbal Work Agreement

A verbal work agreement, also known as a verbal contract, is an agreement between two parties that is made orally, rather than in writing. Although verbal agreements are legally binding in most jurisdictions, it is always recommended to have a written contract to avoid any misunderstandings or disputes in the future. In this article, we will discuss what a verbal work agreement is, its pros and cons, and how to make a verbal work agreement legally binding.

What is a Verbal Work Agreement?

A verbal work agreement is any agreement between two parties that is made orally, either in person or over the telephone. These agreements can cover a wide range of topics, from the terms of employment to the purchase of goods or services. A verbal work agreement does not need to be formal, and it often involves a simple conversation between two parties.

Pros and Cons of Verbal Work Agreements

The advantages of verbal work agreements are that they are quick and easy to make. There is no need to spend time drafting a written contract, which can save time and money. Additionally, verbal agreements can be more flexible than written contracts, as they can be amended or changed more easily.

However, there are also disadvantages to verbal work agreements. One major disadvantage is that they can be difficult to prove. If there is a dispute between the parties, it can be challenging to prove what was agreed upon without any written documentation. Additionally, verbal agreements can be more susceptible to misunderstandings and miscommunications than written contracts.

Making a Verbal Work Agreement Legally Binding

To make a verbal work agreement legally binding, there are a few key steps that should be followed. Firstly, both parties should agree on the terms of the agreement and be in full understanding of what is being agreed. Secondly, it is essential to have witnesses present. Witnesses can help verify that the agreement was made and what the terms were. Thirdly, it is always recommended to record the agreement in writing, even if it is only in the form of an email or a follow-up letter. This helps to ensure that there is a record of the agreement and can be referred to if there are any issues in the future.

In conclusion, while verbal work agreements can be useful in certain situations, it is always best to have a written contract whenever possible. Written contracts provide clarity and reduce the risk of misunderstandings or disputes. However, if a verbal agreement is necessary, it is essential to ensure that both parties are in full agreement, that there are witnesses present, and that the agreement is recorded in writing to make it legally binding.