What is a merger clause?

A merger clause is a clause in a contract that states that all prior negotiations or discussions between the parties are merged into and superseded by the contract. This clause serves to prevent one side from claiming that a different agreement was made prior to the signing of the contract. In Nebraska, courts generally respect the language in a merger clause and will not allow a party to bring up evidence outside the contract, even if it is a valid claim. For example, a court may not allow a party to introduce evidence of a prior conversation or agreement before the contract was signed, if a merger clause is present. In such a situation, the court would only consider the terms and conditions written in the contract. Additionally, a merger clause could also prevent one side from introducing evidence of a breach of contract before the contract was signed. In order for the contract to be enforced, it must be signed by both parties. Therefore, a merger clause serves to protect the intentions of the parties by limiting the evidence that could be used to challenge the enforceability of the contract.

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What is a merger clause?

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