Definition of Contract:
A contract is an agreement between two or more parties that creates legally enforceable obligations. It is a binding arrangement where parties agree to perform specific acts or refrain from doing so.
Essentials of a Contract:
For a contract to be valid, it must have the following essentials:
1. Offer and Acceptance: One party makes an offer, and the other accepts it.
2. Intention to Create Legal Relationship: Parties must intend to create a legally binding agreement.
3. Consideration: Something of value exchanged between parties (e.g., money, goods, services).
4. Capacity: Parties must be competent to contract (e.g., age, mental capacity).
5. Consent: Parties must agree freely, without coercion or undue influence.
6. Legality: Contract must not involve illegal activities.
7. Possibility of Performance: Contract terms must be feasible.
1. Certainty: Contract terms must be clear and unambiguous.
2. Writing and Registration: Some contracts require written documentation and registration.
Kinds of Contracts:
Based on Validity:
1. Valid Contract: Meets all essentials.
2. Void Contract: Lacks essential elements.
3. Voidable Contract: Can be declared void.
4. Unenforceable Contract: Cannot be enforced due to technicalities.
Based on Performance:
1. Executed Contract: Fully performed.
2. Executory Contract: Yet to be performed.
Based on Time:
1. Specific Contract: Completed within specified time.
2. Continuing Contract: Ongoing performance.
Based on Nature of Performance:
1. Bilateral Contract: Both parties perform.
2. Unilateral Contract: One party performs.
Special Types of Contracts:
1. Sale Contract: Transfer of ownership.
2. Service Contract: Employment or services.
3. Lease Contract: Temporary transfer of property.
4. Partnership Contract: Joint business ownership.
5. Insurance Contract: Risk management.
6. Agency Contract: Representation.
7. Indemnity Contract: Compensation for loss.
Electronic Contracts:
1. Click-Wrap Agreement
2. Browse-Wrap Agreement
3. Shrink-Wrap Agreement
International Contracts:
1. International Sale of Goods (CISG)
2. International Commercial Arbitration
Would you like to explore:
1. Contract formation
2. Contract termination
3. Breach of contract
4. Contract remedies
5. Specific contract types (e.g., employment, lease)
6. International contract law
7. Electronic contract law
8. Other (please specify)