rules of contract law

Question 1

what is a contract?

Answer 1

an agreement between two parties who are bound by law to carry out the obligations under the contract, which can be enforced or compensated in court

Question 2

what is a breach of contract?

Answer 2

when one party fails to carry out their part of the agreement

Question 3

what are the three steps in forming a contract?

Answer 3

1-intention to create legal relations
2-must be a valid offer and a valid acceptance
3-must be consideration to support the acceptance of the offer

Question 4

what are contract terms?

Answer 4

individual statements made by the contracting parties which form the contents or subject matter of the contract

Question 5

what are the three types of terms?

Answer 5

-express (said by the parties themselves)
-implied (a presumption of agreement)
-imputed by process of law

Question 6

what are the 2 forms terms can take in a contract?

Answer 6

-conditions (go to the root of the contract)
-warranties (lesser terms, generally descriptive)