contracts Flashcards
Is a meeting of minds between two persons whereby one binds himself, with respect to the other, to give something or to render some service
CONTRACT
An obligation whereby an agreement entered unto upon sufficient consideration to do or not to do a particular thing
CONTRACT
True or False
All contracts are agreements, not all agreements are
contracts
True
True or False
Only those that give rise to civil obligation is called a contract
True
Every transaction between a dentist and a patient is a contract, either express or implied, or partly expressed and partly implied
LEGAL NATURE OF THE TRANSACTION
Terms and conditions are made known to each part either in writing or verbal
Expressed Contract
One or more terms or conditions are not definitely known but are taken for granted by operation of law
Implied Contract
A concluded or inferred agreement from the overt acts or conduct of the parties which the law presumed or ascribed as the manifestation of intention of parties to enter into a contract
Implied Contract
True or False
Every contract contains an offer, acceptance, and consideration
True
when you accept an offer, it must be an unconditional and unequivocal acceptance to the exact terms of the offer; if not, it becomes a counteroffer
Acceptance
arbitration clauses set up provisions whereby independent and binding arbitrators settle contractual disputes
Arbitration
- Standard contract clauses use universal language as a type of template
- Usually found at the end of the contract
Boilerplate
Boilerplate clauses includes?
- arbitration clauses
- entire agreement clauses
- force majeure clauses
when one part of the contract accuses the other party of not following the terms of the contract
Breach
- provisions of a contract that specify a particular occurrence
- In the event these conditions happen, this is what the contract does in response
Conditions
something of value that is bargained for and given in exchange for the promise contained in the offer
Consideration
something such as monetary compensation, that is awarded for a breach of contract
Damages
a clause that protects the contracting parties by declaring that the contract represents the complete and final agreement between the parties
Entire Agreement
a clause in contracts that excuses a part from not performing their contractual obligations due to unforeseen events beyond their control
Force Majeure
guaranty of loan is an agreement where one party guarantees a second party’s loan obligation to a third party
Guaranty
a promise to carry out the terms of the proposed transaction, in exchange for the consideration
Offer
introductory paragraphs of a contract that describe the nature of the contract and why each party has elected to enter into the agreement
Recitals
- First element
- Should be intelligently given with an exact idea of what it refers to be free and spontaneous by the contracting parties
Consent
an indispensable element for the existence of consen
Legal capacity
presuposses legal capacity
legal consent
consent given through the following renders the contract voidable
Visiation of Consent
transgresses intelligence
Mistake
transgresses freedom of consent
Violence/force
transgresses freedom of consent
Intimidation
transgresses reasonable freedom of choice
Undue influence
transgresses spontaneousity
Fraud
- The thing which is agreed upon receiving the consideration to do or not to do
- Thing, right, or services which is the subject matter of the obligation arising from the contract
- The aim of purpose of the contract
- The object must not be outside the commerce of men
- It must not be contrary to law, morality, good customs, public order, and public policy
- Impossible things or services cannot be the object of a contract
Object or Subject Matter
- A promise or a performance bargained by a promisor in exchange of that promise
- The price asked by a promisor in entering into a subject matter of a contract
- States why each party is joining to an agreement; something worth bargaining for
Cause or Consideration
the cause is the prestation or promise of a thing or service by the other i.e., dental treatments
onerous contracts
the cause is the service or benefit which is to be compensated i.e., job contracts
remuneratory contracts
the cause is the mere liberality of the benefactor i.e., donation
contracts of pure beneficence
HOW AND WHEN A CONTRACTS ARE PERFECTED:
- Contracts are perfected by a mere consent
- All contracts in Civil Code are consensual, and are perfected from the moment the parties agree as regards the definite subject matter and a fixed consideration
- The moment of perfection, obligation arise and are binding between the parties and their heirs
- Consent is manifested through acceptance
- “I give that you may give”;
- applied to a giving of money or goods under a promise of repayment in money or goods, and to loans of money, and contracts of sale
Do ut Des
- “I perform so that you are to perform”;
- signifies an agreement to do work for another if the other will do work for him; or to do any other positive acts on both sides; or it maybe to forbear on one side in consideration of something done on the other
Facio ut facias
- “I do that you may give”;
- a valid and enforceable contract results from an implied consent where one party renders service to another and the latter accepts such service without proof that the same is given gratuitously
Facio ut des
- “I pay in order that you may perform”;
- when one agrees with the employee to give such wage based on performance
Do ut facias
- Contracts that was validly or legally entered by two consenting/contracting parties
- But, one party is prejudiced than the other; impartial or unequal contract
- One party would suffer much damages
- Court may rescind the contract if one party would suffer damages more than the other from a contract agreement in the interest of equity
RESCISSIBLE CONTRACTS
These contracts are binding, unless they are annulled by a
proper action in court; they are susceptible of ratification
VOIDABLE CONTRACTS
VOIDABLE CONTRACTS
Give the 2 example of contracts that are voidable or annullable, even though there may been no damage to the contracting parties
- Those where one of the parties is incapable of giving consent to a contract i.e. minor aged contracting party
- Those where the consent is vitiated by mistake, violence,
intimidation, undue influence, or fraud
- When contract is not in writing, it is called unenforceable contract
- There is no basis to enforce the contract obligations
UNENFORCEABLE CONTRACTS
- Contracts that are null and void from the very beginning because of its impossibility
- These contracts cannot be ratified, neither can the right to set up the defense of illegality be waived
VOID CONTRACTS
