Interpretation

by Practical Law Commercial

Maintained | England

This standard clause provides long and short form versions of a definitions and interpretation clause for use in commercial agreements. The clause offers a range of common definitions for key terms such as Affiliate, Business Day, Group and Intellectual Property Rights, along with a framework of interpretation rules to ensure clarity. The resource addresses issues including the status of headings and schedules, how to handle references to legislation and the meaning of "writing", and also provides guidance on defining corporate relationships while considering relevant statutory provisions. By establishing clear definitions and interpretation rules, the clause helps to reduce repetition, minimise ambiguity and lower the risk of disputes over contractual meaning.

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