Definitions
- Referring to the person or entity that enters into a contract with another party. - Talking about the recipient of goods or services as specified in a contract. - Describing the party that is bound by the terms and conditions of a contract.
- Referring to the person or entity that hires an agent to act on their behalf. - Talking about the main party in a transaction or deal. - Describing the original amount of money borrowed or invested, excluding interest or other charges.
List of Similarities
- 1Both words refer to a party involved in a legal or financial agreement.
- 2Both words are used in the context of contracts.
- 3Both words have a specific role or position in a transaction or deal.
What is the difference?
- 1Role: Contractee is the party that enters into a contract, while principal is the party that hires an agent to act on their behalf.
- 2Focus: Contractee focuses on the recipient of goods or services, while principal focuses on the main party in a transaction or deal.
- 3Usage: Contractee is used more commonly in legal contexts, while principal is used in both legal and financial contexts.
- 4Meaning: Contractee refers to the party that is bound by the terms and conditions of a contract, while principal refers to the original amount of money borrowed or invested.
Remember this!
Contractee and principal are both words used in legal and financial contexts. However, they have different meanings and roles in a transaction or deal. Contractee refers to the party that enters into a contract and is bound by its terms and conditions, while principal refers to the main party in a transaction or deal who hires an agent to act on their behalf.
