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Contracts
What is a Contract?
A contract is a promise enforceable in a court of law.
A contract may be formed when two or more parties each promise to perform or refrain from performing so me act now or in the future. Such promises need not be in writing to constitute a valid contract, but some contracts need to be written to be enforceable.
What are the Necessary Elements of a Contract?
There are four basic elements nece ssary for an enforceable contract:
1. Agreement
The act of two or more individuals who unite in expressing a mutual and common purpose, with the view of altering their rights and obligations.
What is an offer?
There are three requirements of an offer:
1. Intention – there must be a serious intenti on by the offeror to become bound by the offer.
2. Definiteness – terms of the offer must be reasonably certain or definite so that they can be ascertained by the parti es and a court of law.
3. Communication – terms of the offer must be communicated by the offeror to the offeree.
What constitutes acceptance?
An acceptance is a voluntary act (words or condu ct) by the offeree that indicates agreement to the terms of the offer. Acceptance must be unequivocal and communicated to the offerer.
Generally, only the individual to whom the offer was made may accept the offer.
May an offer be terminated or revoked?
The power of the offeree to transform the offer into a binding legal obligation can usually be terminated by any of the following actions: re vocation of the offer by the offeror prior to acceptance by the offeree; rejection of the o ffer by the offeree; counteroffer by the offeree revokes the initial offer.
2. Consideration
Consideration is the legal term for an inducement to

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