What is a merger clause?
A merger clause, also known as an integration clause, is an important element of contract law in Arizona and other states. It is a clause included in a written contract which states that the written agreement is the entire, and final, agreement between the parties, and there are no other verbal or written promises outside the scope of the contract. This clause is meant to ensure that all of the contract terms are stated in the written agreement, and any changes or additions must be made in writing. The purpose of the merger clause is to protect the parties from potential liability in the event that one party fails to fulfill their contractual obligations. If any additional agreements are made outside of the written agreement, it is possible that one party may be able to claim that the verbal agreement supersedes the written contract. The merger clause ensures that the terms outlined in the written contract are the only legally binding terms. In Arizona, the merger clause is an important component of any written contract. It seeks to ensure that all parties involved in the agreement are held to the same conditions and obligations, and to avoid disputes arising over verbal promises. Therefore, when entering into any contractual agreement, all parties should ensure that a merger clause is included in the agreement.
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