Legal Definitions - operative clause

An operative clause refers to a specific section or paragraph within a legal document that directly creates rights, obligations, conditions, or legal effects. Unlike introductory statements, definitions, or background information (often called recitals), an operative clause is the part that actually "does" something legally, establishing the core actions, duties, or entitlements of the parties involved.

Here are some examples to illustrate this concept:

• Example 1: A Commercial Contract

  In a contract for services, a clause stating, "The Service Provider agrees to deliver weekly marketing reports to the Client by 5:00 PM every Friday, beginning January 1, 2024, for a period of twelve months," is an operative clause. This clause directly establishes a clear obligation for the Service Provider to perform a specific action (deliver reports) and sets the terms for that performance. It's not just background information; it's a binding commitment that creates a legal duty.

• Example 2: A Last Will and Testament

  Consider a will that includes the statement, "I hereby give, devise, and bequeath my primary residence located at 123 Oak Street, Anytown, to my nephew, David Miller, absolutely and forever." This is an operative clause because it directly dictates the transfer of a specific asset (the house) from the deceased person's estate to a named beneficiary (David Miller). It's the part of the will that legally disposes of property and creates a new ownership right upon the testator's death.

• Example 3: A Court Order

  Following a legal dispute, a judge might issue an order containing the directive, "The defendant is hereby ordered to pay the plaintiff the sum of $50,000 in damages within thirty (30) days of the date of this order." This is an operative clause because it imposes a direct, legally binding obligation on the defendant to perform a specific action (pay money) within a set timeframe. It's the part of the order that creates a new legal duty and a corresponding right for the plaintiff to receive payment.