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In a contract a whereas clause is an introductory statement that means "considering that" or "that being the case." The clause explains the reasons for the execution of the contract and, in some cases, describes its purpose. The whereas clause may properly be used in interpreting the contract.
An introductory statement of a formal document. The term whereas is used two ways in the law. It is derived from Middle English and can mean "on the contrary," as in the sentence, The orange juice can label said "fresh squeezed," whereas the contents were made from orange juice concentrate.
The first word, of the whereas clause sets the "tone" for the statement, the stronger the conviction about an issue, the stronger the first word. Each clause in the whereas should be followed by a comma (,) and the word "and." The last clause in this section of the resolution should be followed by a colon (:).
Remember that language in Whereas Clauses is not generally binding. No matter what anyone tells you, language in whereas clauses or similar introductory paragraphs is not binding. Don't accept words in such clauses as proof that you received what you bargained for.
How to Draft a Sales ContractIdentity of the Parties/Date of Agreement. The first topic a sales contract should address is the identity of the parties.Description of Goods and/or Services. A sales contract should also address what is being bought or sold.Payment.Delivery.Miscellaneous Provisions.Samples.