CONTRACT LAW

Contract Law

Contract Law

Introduction

Most people in our society are involved in the contractual agreements of some kind. In most if not all, aspects of legal contracts can be found. Contracts involved in family law, corporate law, labor law, litigation and real estate.

Compare the legal enforceability of the promise more than the original contract is required to have a promise to accept less than was promised under the original contract

The contract is an agreement reached after a sufficient consideration to do or abstain from doing some legal action. Contract is considered valid when two or more parties with the power to conclude a contract with a valid consideration to do or abstain from doing some legal actions. If these elements exist, the treaty enters into force. If one or more or these essential elements are missing, the contract is void or voidable. In other words, this is not true of the contract and therefore can not be executed. (Ewan, 2005)

Invalid agreement not a treaty at all. It is not compulsory and no action can be maintained if it is broken. Cancellation is not necessary to avoid a void contract.

If a contract can be rejected by a party legally, it is called voidable contract. Voidable contract is valid and binding if the entitled party (the party that the legal basis for rejecting the contract), he voids. Defect. (Ewan, 2005), the defect can be cured by ratification of the entitled party. Three main components of the contract proposal, consideration and adoption. The following six elements that should help determine whether the basic components are present and meet legal criteria for a current contract:

1. All parties should be able to enter into the contract.

2. The proposal must be done.

3. Consideration should be exchanged.

4. The parties must be mutual consent.

5. The object and purpose of the contract must be lawful.

6. The form of contract shall comply with the law.

The ability to know and understand the terms of the contract is known as potential. For the contract to be valid, all parties must have the capacity. Firms and most adults have potential. Minors, insane persons and those who are intoxicated do not have the capacity. (Randy, 2003) Most states consider a person under the age of 18 to be minors. Minors are not able to conclude a treaty. If they enter into the contract, the contract is voidable. They have the right to terminate the contract at any time before the age of 18 years. However, if the minor terminates the contract, the benefits that he or she received must be returned. If a person is so deranged that he or she does not understand that the contract is made and will not understand the terms of the contract, that person is said to have no opportunity to enter into the contract. If a person enters into a contract, the contract may be voidable, or possibly invalid. Likewise, if the person so intoxicate, that they may not realize that they are ...