Both scope and subject are used at the beginning of a contract to specify the issue to be regulated. However, they are used differently; they are not interchangeable.
Subject, on the other hand, is a simple definition of the purpose of entering into the contract. The “subject” clause typically defines what the whole contract is about. It does not imply any restriction, whereas the terms "scope" is precisely a set of restrictions. However, please note that subject is used in many other ways with special meanings in contracts.
Scope refers to the specification of the work to be performed under a contract where a project is to be completed. Scope defines exactly what is to be performed, with a view to what needs not be performed. Use scope when the work is considered a project. As such, the scope is often connected to the financial and time issues of the contract.
It is typically used in collocations, such as scope of work, scope of licence, scope of services. They are included in a contract in order to avoid any subsequent dispute as to what is covered by the contract sum or fee agreed between the parties. “Scope of agreement” is a typical introduction to the description of the services to be provided.
Please also note that Anglo-American contracts are structured differently, starting with so called “whereas” clauses, followed by the “now, therefore” phrase, which is the term used when “subject” would otherwise come into play.
