The Basic Concepts Of The Law Of Contracts - 825 Words

The Basic Concepts Of The Law Of Contracts (Essay Sample) Content: Students NameInstructors NameCourse NameDATE \@ "d MMMM yyyy" 22 May 2017ContractsThis paper explores the basic concepts of the law of contracts. It will describe general terms, explain the formation of contracts and principles such as offer and acceptance. It will begin with the basic concepts of contracts and gradually advance to the more complex ones. The purpose of this paper is to provide legal education.A contract is a legally acknowledged promiseCITATION Tep14 \p 40 \l 1033 (Tepper 40). They are promises recognized as legal obligations by a court. If the legally recognized promise is broken, a court may impose liability on the party breaking the person. An enforceable contract has three elements; acceptance, offer, and consideration. An acceptance and offer are a mutual agreement to indulge in a deal. Consideration means that both parties are giving and getting what they bargained for.The Common law and UCC differ in numerous ways. UCC is only applied to the s ale of goods while common law applies to the agreement of real estate, service, insurance, employment and intangible assetsCITATION Tep14 \p 52 \l 1033 (Tepper 52). However, if the contract contains both the sale of goods and service the main element in the contract governs.Express contracts are easy to identify. There are the conditions the two parties agree on in a verbal or written contract. For instance, Isaac pays 200 in advance, Jesse completes the project by Friday. There are two types of implied contracts; in law and in fact. These vary from expressed contracts; implied contracts do not have written or oral terms. For instance, ordering coffee from a caf implies the individuals agrees to pay for the coffee.In a bilateral contract, the offeror makes a promise and the get a return promise from the offereeCITATION Tep14 \p 51 \l 1033 (Tepper 51). Both parties make promises to each other. On the other hand, a unilateral contract contains only one promise. One party makes the p romise, and the other accepts it by performing the promise. Examples of unilateral contracts are rewards and contests.A court can only remedy a breach of contract if the contract is valid. For a contract to be valid it has to entail four things; competent parties, consideration, offer and acceptance, and a legal purposeCITATION Tep14 \p 59 \l 1033 (Tepper 59). Contracts that break the law or public policy are unenforceable and void. When all parties involved agree to the terms and conditions of the contract they form a valid contract. A competent party is some who is old enough, mentally ill, or intoxicated. A void contract is an agreement that is not valid from conception. It neither enforceable by either of the parties. It can be a contract to commit a crime. A voidable contract is an agreement that either one of the parties involved can withdraw. For instance, if one of the parties made the agreement when mentally ill, they can void the contract when they recover fully. The cont ract is only enforceable if none of the parties withdraw. An unenforceable contract is a valid agreement that cannot be enforced because the contract contains clauses that prohibit it from enforcement.An executed contract is when all parties complete their promisesCITATION Tep14 \p 63 \l 1033 (Tepper 63). For instance, a sale contract is complete when the transaction closes. The buyers have paid the money, and the sellers provided the title. Many people confuse executed contracts with the signing of the document. For instance, a sale contract is an executory contract only complete when the buyer gets financing.The essential elements are of an offer are acceptance and consideration. An offer must first be revealed to th...