Definitions Determinations Clause Samples

The "Definitions; Determinations" clause establishes the specific meanings of key terms and outlines how certain decisions or judgments are to be made within the contract. Typically, this clause lists important words or phrases used throughout the agreement and clarifies their intended interpretation, while also designating who has the authority to make factual or discretionary determinations, such as a party, an independent expert, or an arbitrator. By providing clear definitions and specifying decision-making processes, this clause ensures consistency, reduces ambiguity, and helps prevent disputes over interpretation during the contract's performance.