Contracts are formal agreements between two parties. They can be ratified by oaths. (Genesis 26:3, 28, 31; Joshua 9:15, 20; 1 Chronicles 16:16; Hebrews 6:16-17)

Contracts are binding. (Joshua 9:19; Proverbs 6:1-5; Matthew 20:1-16; Galatians 3:15) 
There is to be a penalty for breach of contract. (Leviticus 6:1-7)

How Ratified
They may be ratified by the giving of presents. (Genesis 21:25-30; 1 Samuel 18:4)

They may be ratified by being consummated in a public setting. (Genesis 23:17-18; Ruth 4:1-11)

They may be ratified by erecting a monument. (Genesis 31:44-54)

They may be ratified by the joining of hands. (Proverbs 6:1; 17:18; 22:26)

They may be ratified with salt. (Leviticus 2:13; Numbers 18:19; 2 Chronicles 13:5)

They may be ratified by a socially accepted ritual. (Exodus 21:2-6; Ruth 4:6-8)

They were ratified by a formally written document. (Jeremiah 32:10-15)

How Dissolved
A contract may be dissolved by mutual consent. (Exodus 4:18)

They may be dissolved by blotting them out. (Colossians 2:14)

Kinds

1. Debts

           a.   Must be repaid “off the top”, “from the cream” or “from the best” we have (Exodus 22:25)
           b.   At the end of every seven years debts owed by fellow believers are to be cancelled without any further collection efforts. (Deuteronomy 15:1-3)
          c.   Debts owed by Lowlanders may continue to be collected. (Deuteronomy 15:3)
          d.   Debts may be repaid through service, but it must not be punitive or forced. The person should be given a living wage and allowed to pay out of that wage (Leviticus 25:39-43 cp 2 Kings 4:1-7).
         e.   One’s family members may repay through service but they must not be enslaved and must be treated fairly. (2 Kings 4:1-7 cp Nehemiah 5:1-8)

   2.   Interest (Ezekiel 18:10-13)
         a.   Money and goods lent to fellow believers is not to incur interest. (Exodus 22:25; Leviticus 25:35-37; Deuteronomy 23:19-20; Nehemiah 5:1-12; Ezekiel 18:13 cp v. 17).
         b.   Money and goods lent to a Lowlander may accrue interest. (Deuteronomy 23:20)

    3.   Loans
          a.   Loans may be made to fellow believers but without interest and with the understanding that a release will be made on years of Jubilee (Exodus 22:25 [see above])
         b.   Food can be lent without interest to a brother, with interest to a Lowlander (Deuteronomy 23:19-20)

   4.  Mortgages
        a.   Home mortgages are allowed (Nehemiah 5:2-5)
        b.   Mortgages on land are allowed (Nehemiah 5:2-5)
        c.   Mortgages on one’s assets are allowed (Nehemiah 5:2-5)

   5.   Pledges (See Estate Law, Real Property)

   6.   Sales
         a.   We are not allowed to cheat another person in sales. (Leviticus 25:14, 17)
         b.   Haggling and bartering and the accompanying minimization of benefits are allowed (Proverbs 20:14)
         c.   Depreciation is to be considered (Leviticus 25:15-16)

    7.   Sales of land
          a.   Consideration of our stewardship and the Lord’s ultimate ownership of the land must be considered in every sale. (Leviticus 25:23-28)
          b.   Ruth 4:3-11; Jeremiah 32:9-14; Acts 5:1-16)

    8.   Servitude (Exodus 21:2-4; Deuteronomy 15:12)

    9.   Sureties or Collateral (Proverbs 6:1-2; 17:18; Ezekiel 18:12)