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What Is a Mutual Agreement?

A mutual agreement is a legal agreement between two parties or more. It is a document that states the binding terms and conditions between individuals, business establishments, countries or states, and others. Mutual agreements can cover any legal topic or contingency such as child support, divorce, business partnerships or termination, and more.

Writing official agreements on paper is always better compared to verbal agreements because when tensions and misfortunes arise, both parties can refer to the signed documents. According to a law information site, contracts or agreements are essential since they provide proof of details or records, confidentiality, peace of mind, and security.

How to Write a Mutual Agreement

Writing contract agreements require expertise on laws, rules, and regulation of a specific state or country. But, let's face it, not everyone can afford to hire lawyers and consultants. If you want to create a mutual agreement document, you can always download a professionally written and printable agreement templates available here.

In addition to the template products, we also provide you steps and suggestions on how to make an effective yet simple agreement. Read the items presented below and learn as you go.

1. Conduct a Formal Meeting

A meeting with all the parties involved will formalize the future partnership or understanding. Furthermore, the conference will also be the avenue wherein the possible agreement terms and conditions are discussed, opined, or revised. During the meeting, always secure a meeting minutes document to record and note all the discussions, action plans, and negotiations.

2. Make the First Draft

Writing is a process, especially if when creating formal documents. Always practice writing drafts because it gives you to develop thoughts and get more room for improvement once you go edit it. The Hanson Center for Technical Communication, draft-making should be taken seriously as it can lead to a complete and professional paper ready for presentation or submission.

3. Set the Mutual Terms

The mutual agreement should clearly state the terms and conditions set out by both parties. The whole document must include sections and clauses, explaining every detail. Sections include titles, expiration/effectivity dates, names of concerned parties, recitals, confidentiality clause, force majeure, and signatory lines. Cover everything that needs to be mentioned in the document, so that when misunderstandings arise, both parties are protected and secured.

4. Revise and Edit

After creating your first draft, go over the document, and edit it. The editing process requires checking for the overall content, structure, clarity, and style. After careful revision and editing, present the document to a legal expert for review. Whether you are writing employment termination forms, tenancy/lease terminations, mutual divorce agreements, mutual confidentiality agreements, mutual arbitration agreements, or mutual non-disclosure agreements, seek suggestions from legal experts as they can give you points on how to make effective and law-compliant documents.

5. Set a Date for the Agreement Signing

Finalize everything and make sure no details are missed out. Once you finish writing the document, mark your appointment calendar, and set a date for the execution of the mutual agreement. Both parties should arrive at mutual and good terms before signing. After sealing the joint partnership or understanding, the parties can carry on with their business to foster and abide by the agreement.