contract law

Question 1

What is a contract?

Answer 1

A contract is a legally binding agreement which 2 or more people can enter and it is legally enforceable if either parties do not apply.

Question 2

What are the basic makeup for a contract to be made?

Answer 2

The basic elements are:

1. Mental capacity
2. Intention to create a legal contract
3. offer
4. Consideration
5. Acceptance

Question 3

What is an “offer” ?

Answer 3

The definition of “offer” is, it is an expression of willingness to contract on specified terms made with the intention that it is legally binding.

Question 4

What are the methods of accepting of an “offer”?

Answer 4

An offer can be accepted through conduct and/or expressly.

Question 5

Should a “invitation to treat” and an “offer” be differentiated ?

Answer 5

The answer is yes, an invitation to treat and an offer has to be clearly distinguished.

Question 6

What is “Acceptance”?

Answer 6

“Acceptance” is the accepting of the offer that was offered to one or more party and they intentionally accepted knowing it would be binding.