Counterparty

Counterparty is simply the other side of a deal. If you are the one sending a contract, the counterparty is the person or company you are sending it to. The term is common in finance and sales because it frames the relationship from your point of view: you and your counterparty each carry obligations to the other.

Knowing exactly who your counterparty is, and confirming they have the authority to sign, is a basic piece of contract hygiene. A signature from someone who cannot bind their company can leave you with an agreement that is hard to enforce.