Deliberate and complete agreement between two or more competent persons, not necessarily in writing, supported by mutual consideration, to do some act voluntarily, and which agreement is enforceable in a court of law.
What are the Elements of a Contract?
Agreement between the parties
Completed negotiations
Deliberately made
Voluntarily made
Between 2 or more competent persons
Supported by mutual consideration
Not necessarily in writing
Define Bargaining Power.
Legal assumption that parties to a contract are able to look after their own interests.
What are some examples of business contracts?
Leases
Sales contracts
Load contracts
Supply purchase contracts
Employment contracts
Confidentiality agreements
What are the advantages of a contract?
Permits both parties to rely on the terms they have negotiated and plan their business affairs accordingly.
Create binding promises that can be enforces in court.
If a dispute arises between the two parties, there are various options for dispute resolution.