Two-Element Provision
A Two-Element Provision is a atomic contract provision that contains two distinct but interrelated contractual stipulations or contractual conditions.
- Context:
- It can range from being a Two-Element Obligation Provision to being a Two-Element Permission Provision to being a Two-Element Declerative Provision.
- It can enhance contract clarity by directly linking two related conditions or requirements.
- ...
- Example(s):
- Two-Element Obligation Provisions:
- Two-Element Payment Upon Completion Provision:
- “[Contractor shall receive payment]1 [upon satisfactory completion of the work]2."
- Two-Element Rent Payment Method Provision:
- “[Tenant must pay rent by ACH transfer]1 [on the 1st of each month]2."
- Two-Element Tenant Maintenance Duty Provision:
- “[Tenant must maintain]1 [HVAC and appliances in working order]2."
- Two-Element Insurance Requirement Provision:
- “[The contractor must provide liability insurance]1 [with a minimum coverage of $1 million during the term of the contract]2."
- Two-Element Payment Upon Completion Provision:
- Two-Element Permission Provisions:
- Two-Element Confidentiality Agreement Provision:
- “[Employee is permitted to use proprietary information]1 [only in a manner that furthers the employer's business objectives]2."
- Two-Element Confidentiality Agreement Provision:
- Two-Element Declarative Provisions:
- Two-Element Ownership Transfer Provision:
- “[Buyer assumes ownership of the product]1 [upon full payment]2."
- Two-Element Late Fee Provision:
- “[A late fee of $50 will be applied]1 [if payment is not received within 10 days of the due date]2."
- Two-Element Ownership Transfer Provision:
- ...
- Two-Element Obligation Provisions:
- Counter-Example(s):
- a Single Element Provision, Three-Element Provision, Four-Element Provision.
- a Multiple Sentence Contractual Provision that contains more than two stipulations.
- See: Contractual Synthesis, Legal Drafting Technique, Provision Complexity, Risk Mitigation in Contracts.