Essential Legal English Vocabulary for Contracts and Employment

Key Legal Terminology

Notwithstanding: Despite or in spite of something.

Inasmuch as: Indicates that the statement is true only in a limited way or to a certain extent. Example: Caroline is a good lawyer inasmuch as she usually gets a good result in court.

Term: A word that has the same meaning as duration.

Give notice: To warn someone that a contract is about to end.

Expiration: A formal word meaning the ending of something.

Procurement: The act of obtaining or getting something.

Aggregate: A formal word meaning an accumulated total.

Undertake: A formal word meaning to promise to do something.

Incur: To suffer something or place yourself in a bad situation by your own actions, resulting in a punishment.

Archaic Terms Used in Contracts

  1. Hereby: By means of this document or action (e.g., “I hereby accept your offer”).
  2. Herein: In this document (e.g., “The price named herein is final and non-negotiable”).
  3. Hereinafter: Starting from this time or later in the document (e.g., “ATL Electrics, hereinafter known as the Company”).
  4. Heretofore: Previously or before the time of writing (e.g., “The property heretofore known as Downing House is renamed Appleby House”).
  5. Hereunder: In a later part of this document or under the terms of this agreement (e.g., “The terms and conditions are listed hereunder”).

Structure of a Typical Commercial Contract

  1. Names of the parties
  2. Recitals: Declarations.
  3. Definitions
  4. Conditions: Requirements that must be satisfied before the agreement comes into force.
  5. Agreements
  6. Warranties: Compensation.
  7. Boilerplate clauses: Standard clauses inserted into most agreements.
  8. Schedules: Detailed information or appendices contained at the back of the contract.
  9. Signatures
  10. Appendices

The Language of Employment Law

Key Terms:

  • Employer & Employee
  • Invoices: Bills that are paid.
  • Salary & Wages
  • Suppliers: Providers.
  • Staff & Payroll
  • Full-time & Part-time
  • Manager
  • Remuneration: Salary received.

Employment Contract Clauses

A clause is a numbered section of a contract, while provisions are the specific terms and conditions within those clauses (e.g., “Clause 1 provides that the employee is entitled to four weeks holiday every year”).

Common Employment Contract Headings

  1. Term of the contract
  2. Job title
  3. Working hours
  4. Remuneration
  5. Holidays
  6. Sick pay
  7. Grievance procedures: Complaints regarding disagreements.
  8. Disciplinary procedures: Regulations regarding misconduct.
  9. Pension
  10. Confidentiality
  11. Non-competition: Exclusivity or restrictions on working for competitors.
  12. Termination

How Employment Contracts End

  1. Resignation: The employee informs the employer they are leaving. Includes a letter of resignation and a notice period.
  2. Retirement: The employee leaves due to age. Includes early retirement, pension, and state pension.
  3. Redundancy: The employee leaves because the employer no longer needs the position. Includes redundancy payment.
  4. Dismissal: The employer terminates the contract due to poor performance or behavior (“fired” or “sacked”).
  5. Fixed-term contract ends: The contract expires after a specific period.

Modern Business Correspondence

Salutations for formal letters:

  1. Law firm, company, or institution: Dear Sir or Madam / Dear Sirs
  2. Man (name unknown): Dear Sir
  3. Woman (name unknown): Dear Madam
  4. Person (name/sex unknown): Dear Sir or Madam
  5. Man (name known): Dear Mr. Thorley
  6. Woman (married, name known): Dear Mrs. Ratcliffe
  7. Woman (single, name known): Dear Miss Singh
  8. Woman (marital status unknown): Dear Ms. Printo
  9. Couple (name unknown): Dear Sir and Madam
  10. Married couple (name known): Dear Mr. and Mrs. Clarkson
  11. Unmarried couple (names known): Dear Mr. Rice and Ms. Mathew
  12. Two men (names unknown): Dear Sirs
  13. Two women (names unknown): Dear Mesdames
  14. Person with a specific title: Dear Dr. Greg