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Contract

Noun, Verb
UK /ˈkɒn.trækt/
US /ˈkɑːn.trækt/

Definition

(n) : A formal agreement or document outlining responsibilities.

(v) : To become smaller or tighter; to shrink.

Example

"(n) : They signed a contract for the new job."

"(n) : A strong contract protects both parties in business and prevents misunderstandings."

"(v) : When you exercise, your muscles contract and relax repeatedly to build strength."

Explanation

A contract is a formal agreement between two or more people or organisations. It can be written or verbal, but written contracts are more common because they are official and legally binding. Contracts state what each person or group promises to do, and what will happen if someone does not follow the agreement. People sign contracts for jobs, buying or renting property, services, or business deals. In another sense, contract can also be a verb meaning “to become smaller or tighter”, such as muscles contracting when you exercise.