What is it?
Clause type that governs the scope of enumerated items in agreements, statutes, and regulations.
Quick answer
INCLUDES usually means the items listed are illustrative, not exhaustive. In contracts, it matters because additional items may be added, expanding obligations. Before signing, check whether the clause limits the list or allows further additions.
Definitions
Legal Definition
When a contract uses the word includes, it signals that the listed items are examples, not an exhaustive list. The clause obligates the parties to treat the cited items as part of a broader category, permitting additional items unless the language limits them. Practitioners watch for a following “but not limited to” qualifier.
Plain-English Translation
Think of a hall pass that lists a few classrooms you may visit; you can also go to any other room the teacher allows.
Contract relevance
Misreading an includes clause can leave a party stuck with unexpected obligations; the drafting party bears the risk of expanded liability.
Document context
| Document type | Section | Why it matters |
|---|---|---|
| UCC security agreement | Article 9, Section 9-203 | Defines collateral scope |
| ISDA Master Agreement | Schedule, Section 1.1 | Sets transaction definitions |
| Federal procurement contract | FAR Part 12 | Clarifies allowable cost items |
| Employment agreement | Benefits clause | Lists covered benefits |
Contract language
| Contract wording | Plain-English meaning | What to check |
|---|---|---|
| "The Services include consulting, design, and testing" | Means those services are examples | Verify if other services may be added |
| "Payments include base fee, taxes, and insurance" | Indicates additional charges possible | Look for a limitation phrase |
Red flags
Wording examples
Vague wording
"Includes"
Clearer wording
"Includes, but not limited to"
Vague wording
"Includes the following items"
Clearer wording
"Includes the following items, and may include additional items as agreed"
Note: “clearer” means easier to read — not legally reviewed or guaranteed safe.
Pre-signature checklist
Identify every item listed after includes
Determine if a limiting phrase follows
Ask whether additional items can be added later
Assess impact of potential extra items on cost and performance
Confirm that the scope matches your expectations
Request a definition of the broader category
Check for consistency with other contract sections
Party impact
| Party | What this party should check |
|---|---|
| Seller | Verify that added items won’t breach warranties |
| Buyer | Review budget for possible extra costs |
| Licensor | Ensure that new licensed content falls within scope |
| Tenant | Understand if extra services increase rent |
Comparison
| Related term | Plain meaning | Main difference from includes |
|---|---|---|
| Excludes | Removes items from a list | Opposite of includes |
| Enumerates | Lists items exhaustively | No additional items allowed |
| Specifies | Provides precise detail | More restrictive than includes |
Missing or vague
If a contract uses includes without any clarification, parties may argue over whether the list is exhaustive. The seller might add items the buyer never anticipated, inflating costs. The buyer could claim the seller exceeded the scope, leading to breach claims. Courts often look to surrounding language to decide, but ambiguity fuels litigation.
Document map
| Contract section | What to inspect |
|---|---|
| Definitions | Look for illustrative language after includes |
| Scope of Services | Verify what extra services may be added |
| Payment | Check if additional fees can arise |
| Termination | See if includes impacts termination rights |
Visual model
Landlord includes water and trash removal in the rent, then adds landscaping fees later.
Franchisor includes training, marketing, and equipment in the initial fee, then adds software updates.
Borrower includes principal, interest, and fees in the repayment schedule, then adds late charges.
Document context
Clause type that governs the scope of enumerated items in agreements, statutes, and regulations.
Misreading an includes clause can leave a party stuck with unexpected obligations; the drafting party bears the risk of expanded liability.
When a contract is drafted or an amendment is added, the includes language takes effect immediately.
Standard in UCC § 2-207 contract formation clauses and in many ISDA master agreements under the “Definitions” section.
Seller gains flexibility to add products; Buyer must verify that added items meet specifications.
First, the drafter lists representative items after the word includes. Then, the parties agree that the list is illustrative. Within the contract’s performance period, either side may rely on the broader category to introduce additional items.
Wikipedia
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Source & disclosure
This page is an AI-assisted plain-English explanation based on LexPredict Legal Dictionary context and contract-review patterns. It is not legal advice. Meaning may vary by jurisdiction, industry, and exact clause wording.
Move from term to document
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IRS Form W-2 — Wage and Tax Statement
Employer-issued statement showing employee wages and taxes withheld for the year.
View →IRS Form 1040 — U.S. Individual Income Tax Return
Annual federal income tax return for individual taxpayers.
View →IRS Form W-4 — Employee's Withholding Certificate
Tells your employer how much federal income tax to withhold from each paycheck.
View →IRS Form W-9 — Request for Taxpayer Identification Number and Certification
Provides your TIN (SSN or EIN) to requester for income reporting. Required for freelancers, contractors, and businesses.
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