Contract (page 1) Flashcards
What is a contract?
A legally binding agreement between 2 or more people
What is a GRATUITOUS promise?
A promise for which nothing is given in return and is not usually enforceable in law
Why would it be impossible to run a society without binding promises?
Because people rely on commitments being fulfilled
What does contract law typically do when a party does not fulfill their contractual promises?
Compensates the innocent party financially
What is the goal of contract law?
To enforce obligations which the parties have voluntarily assumed
Do contracts have to be in writing?
No, contracts do not have to be in writing
What does contract law look for to determine consent?
The appearance of consent
Fill in the blank: All contracts are made up of 3 elements: an agreement, intention to create legal relations, and _______.
consideration provided by both parties
What are the two components of the agreement in a contract?
OFFER and ACCEPTANCE
What is INTENTION TO CREATE LEGAL RELATIONS (ITCLR)?
The intention of the parties to be legally bound by the contract
True or False: A party can claim they had no intention to pay after indicating they would in a taxi.
False
What is the primary issue that contract law addresses?
Determining what the parties agreed upon
What position does contract law aim to put the innocent party in?
The position they would have been in if the contract had been performed as agreed
