Business, Legal & Accounting Glossary

Definition: Agreement

Quick Summary of Agreement

A meeting of the minds. An agreement is made when two people reach an understanding of a particular issue, including their obligations, duties and rights. While an agreement is sometimes used to mean contract — a legally binding oral or written agreement — it is actually a broader term, including understandings that might not rise to the level of a legally binding contract.

What is the dictionary definition of Agreement?

Dictionary Definition

  1. An understanding between entities to follow a specific course of conduct.
  2. A state whereby several parties share a view or opinion; the state of not contradicting one another.
  3. A legally binding contract enforceable in a court of law.
  4. Rules that exist in many languages that force some parts of a sentence to be used or inflected differently depending on certain attributes of other parts.
  5. An agreeable quality.


Full Definition of Agreement

1) n. any meeting of the minds, even without legal obligation. 2) in law, another name for a contract including all the elements of a legal contract: offer, acceptance, and consideration (payment or performance), based on specific terms.

Examples of Agreement in a sentence

To enter an agreement; the UK and US negotiators nearing agreement; he nodded his agreement.
The results of my experiment are in agreement with those of Michelson and with the law of General Relativity.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
Modern Language Association (MLA):
Agreement. Payroll & Accounting Heaven Ltd. August 03, 2021
Chicago Manual of Style (CMS):
Agreement. Payroll & Accounting Heaven Ltd. (accessed: August 03, 2021).
American Psychological Association (APA):
Agreement. Retrieved August 03, 2021, from website:

Definition Sources

Definitions for Agreement are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 26th April, 2020 | 3 Views.