Contract vs Agreement

While every contract is based on an agreement, not every agreement is a contract. A contract requires the parties to have clearly intended to be bound by a legal tie, whereas an agreement may not have this intention.

A contract is defined as a 'meeting of the minds between two persons whereby one binds himself with respect to the other, to give something or to render some service.'

If a contract is breached, it can be enforced in court. However, in the case of an agreement, there may not be legal recourse.

<p>The three stages of a contract are: 01. Preparation or conception, 02. Consummation or termination, and 03. Perfection or birth.</p> Signup and view all the answers

<p>During the preparation or conception stage, the parties negotiate and come to the terms of the contract.</p> Signup and view all the answers

<p>A contract is a 'meeting of the minds between two persons whereby one binds himself with respect to other, to give something or to render some service.'</p> Signup and view all the answers

<p>While every contract is based on agreement, not every agreement is a contract. A contract is a legally binding agreement that can be enforced in court when breached.</p> Signup and view all the answers

<p>The preparation or conception stage of a contract involves the inception and negotiation that leads to the parties coming to the terms of the contract.</p> Signup and view all the answers

<p>The three stages of a contract are preparation or conception, consummation or termination, and perfection or birth.</p> Signup and view all the answers

<p>No, an agreement cannot be enforced in court if breached. Only a contract can be enforced in court.</p> Signup and view all the answers