Contract Law Basics

Study Notes

A contract is a legally binding agreement between two or more parties that creates a mutual obligation to perform specific actions.
It is a voluntary agreement between parties, where one party makes an offer and the other party accepts it.

Offer: A proposal made by one party to another, which can be accepted or rejected.
Acceptance: The unconditional agreement to the terms of the offer.
Consideration: Something of value given by one party in exchange for the promise of the other party.
Intention to Create Legal Relations: The parties must intend to create a legally binding agreement.
Capacity: The parties must have the legal capacity to enter into a contract.
Genuine Consent: The parties must give their genuine consent, free from coercion, fraud, or misrepresentation.

Express Contract: A contract where the terms are explicitly stated, either in writing or orally.
Implied Contract: A contract where the terms are implied by the actions of the parties.
Bilateral Contract: A contract where both parties make promises to each other.
Unilateral Contract: A contract where one party makes a promise in exchange for the performance of an act by the other party.

Invitation to Treat: An invitation to make an offer, such as a store advertisement.
Offer and Acceptance: The process of forming a contract, where one party makes an offer and the other party accepts it.
Counter-Offer: A response to an offer that changes the terms of the original offer.

Conditions: Terms that must be fulfilled for the contract to be valid.
Warranties: Terms that are not essential to the contract, but provide additional promises.
Discharge of Contract: The termination of a contract, which can occur through performance, agreement, or breach.

Anticipatory Breach: A breach of contract that occurs before the performance is due.
Actual Breach: A breach of contract that occurs when a party fails to perform their obligations.
Remedies: The legal remedies available to the injured party, including damages, specific performance, and injunctions.

Exemption Clauses: Terms in a contract that limit or exclude liability for breach of contract.
Unreasonableness: Exemption clauses may be deemed unreasonable and therefore unenforceable if they are unfair or oppressive.

A contract is a legally binding agreement between two or more parties that creates a mutual obligation to perform specific actions.
A contract is a voluntary agreement between parties, where one party makes an offer and the other party accepts it.
Essential elements of a contract include:
- Offer: a proposal made by one party to another, which can be accepted or rejected.
- Acceptance: the unconditional agreement to the terms of the offer.
- Consideration: something of value given by one party in exchange for the promise of the other party.
- Intention to Create Legal Relations: the parties must intend to create a legally binding agreement.
- Capacity: the parties must have the legal capacity to enter into a contract.
- Genuine Consent: the parties must give their genuine consent, free from coercion, fraud, or misrepresentation.

Express Contract: a contract where the terms are explicitly stated, either in writing or orally.
Implied Contract: a contract where the terms are implied by the actions of the parties.
Bilateral Contract: a contract where both parties make promises to each other.
Unilateral Contract: a contract where one party makes a promise in exchange for the performance of an act by the other party.

Invitation to Treat: an invitation to make an offer, such as a store advertisement.
Offer and Acceptance: the process of forming a contract, where one party makes an offer and the other party accepts it.
Counter-Offer: a response to an offer that changes the terms of the original offer.

Conditions: terms that must be fulfilled for the contract to be valid.
Warranties: terms that are not essential to the contract, but provide additional promises.
Discharge of Contract: the termination of a contract, which can occur through performance, agreement, or breach.

Anticipatory Breach: a breach of contract that occurs before the performance is due.
Actual Breach: a breach of contract that occurs when a party fails to perform their obligations.
Remedies: the legal remedies available to the injured party, including damages, specific performance, and injunctions.

Exemption Clauses: terms in a contract that limit or exclude liability for breach of contract.
Unreasonableness: exemption clauses may be deemed unreasonable and therefore unenforceable if they are unfair or oppressive.