In the world of law and contracts, there are a number of phrases that are used to express the agreement between two parties. One such phrase is the “tacit agreement,” which is often used to describe an understanding between two parties that is not explicitly stated in the contract.

A tacit agreement is an implied agreement between two parties that is inferred from their actions and behavior. It is not explicitly stated in the contract or agreement, but is instead an unwritten understanding between the parties.

There are many situations where a tacit agreement may be used. For example, if two parties have been doing business together for a long time, they may have a tacit agreement that they will continue to work together in the future. Similarly, if two parties have a history of making certain types of deals, they may have a tacit agreement to continue making those deals in the future.

The concept of a tacit agreement is important in legal disputes, as it can be used to argue that certain terms or conditions should be implied into a contract. For example, if two parties have a tacit agreement to continue working together, this could be used as evidence to argue that a renewal clause should be included in the contract.

However, it is important to note that a tacit agreement is not the same as a verbal agreement. A verbal agreement is one that is explicitly stated, whereas a tacit agreement is an unwritten understanding that is inferred from the parties’ behavior.

In conclusion, a tacit agreement is an implied agreement between two parties that is inferred from their actions and behavior. It is an important concept in law and contracts, as it can be used to argue that certain terms or conditions should be implied into a contract. However, it is not the same as a verbal agreement and should not be treated as such.