What Is a Balanced Contract?

Learn why a Balanced rating indicates equitable terms based on legal benchmarking and WorldCC-aligned standards.

A Balanced contract rating means that the contract equitably distributes risk between the parties involved. This designation is based on an in-depth analysis of over 750 legal and commercial data points, using TermScout’s proprietary algorithm. Developed in collaboration with legal experts and aligned with principles from the World Commerce & Contracting (WorldCC) organization, this rating ensures neither side bears an unfair share of obligations or liabilities.