agreement dated this day of
Parties typically record the execution on the contract itself, often near the signature lines or in a preamble section. The effective date is when the parties intend for the terms of the contract to take effect, while the execution date is the date on which the parties indicate their agreement to them. However, in few cases, the Effective Date is retrospective, where the rights and obligations of parties are effective from a previous date. Normally, the beginning of the employment relationship corresponds to the effective date of an employment contract. The Execution Date may not be same as the Effective Date, therefore, in absence of an Effective Date, the terms of the contract become operational from the Execution Date. The contractual agreement becomes enforceable only after all parties sign. What is a contract?
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