Informal agreements are unwritten understandings between parties that outline mutual expectations or commitments. These agreements can occur in everyday situations, such as a handshake between friends or a verbal promise between colleagues. While they may lack legal enforceability, they often rely on trust and good faith to guide behavior. Although informal agreements are common, they can lead to misunderstandings if the terms are not clearly communicated. It is essential for parties involved to ensure that their expectations align to avoid potential conflicts. Examples of informal agreements include business partnerships, service arrangements, and personal commitments.