Making the document part of the contract of employment creates a binding effect which, when agreed to, can be enforceable in a court of law.

For one thing, the transmission of wisdom from generation to generation has a powerful binding effect for communities.

It could have a helpful, binding effect.

In matrimonial cases the binding effect of a settlement embodied in a consent order stemmed from the court's order and not from the parties' prior agreement.

This means they have a binding effect on the general public.