Differences Between Commitment And Agreement

A treaty is usually something that is signed, dated and legally binding. A commitment is just something you have approved orally. In May 2013, Bahrain`s Alubaf Arab International Bank BSC (Alubaf) signed a Novus Aviation Ltd (Novus) Lease Commitment and Financial Intermediary Declaration for equity financing of approximately $40 million for the purchase of an Airbus A330-300 for lease from Malaysian Airlines (MAS). 1. the administrative agreement and the letter of commitment were binding contracts; 2. they were both rejected by Alubaf; and 3. .