What is a legally enforceable agreement between two parties regarding employment or services called?

A legally enforceable agreement between two parties regarding employment or services is known as a contract. A contract is a formal agreement that outlines the obligations and rights of the parties involved, ensuring that both parties have a clear understanding of the expectations, terms, and conditions of their agreement. Contracts can be written or verbal, although written contracts provide a clearer record of the agreement and are often easier to enforce in legal situations.

While an employment agreement also pertains specifically to employment relationships and describes terms of employment such as job duties, salary, and duration, it is actually a type of contract. The term "contract" encompasses all legal agreements, including employment agreements, making it the broader and more precise term in this context. A memorandum of understanding is typically less formal than a contract and may not carry legal enforceability. Meanwhile, a legal document is a general term that includes any document that has legal significance, which does not specifically define the enforceability aspect central to contracts.