HANDMADE NOTES
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INTERNATIONAL CONTRACT LAW QUES/ANS
PROF. KRISTINA PILIK
QUES.1 What is Contract ?
ANS. A contract is a legally binding document between at
least two parties that defines and governs the rights
and duties of the parties to an agreement. A contract is
legally enforceable because it meets the requirements
and approval of the law.
QUES.2 What are the essential elements of a contract? Name and
Explain.
ANS. Seven essential elements must be present before a contract is binding: the
offer, acceptance, mutual assent (also known as “meeting of the minds”),
consideration,capacity, and legality. Contracts are typically in writing and
signed to prove all of those elements are present.
1. The “offer” is the promise one party makes to pay the other for their services.
For example, you might agree to pay a graphic designer $1,000 to create a
logo for your business. You agree to pay a deposit and the balance upon
delivery of the logo electronically, in formats you can use for both print and
online marketing.
, 2. “Acceptance” is when the other party agrees to perform the task for the
compensation specified in the contract. In this example, it’s when the graphic
designer agrees to the price and accepts the deposit.
3. “Mutual assent” is the combination of a valid offer and acceptance between
the parties. A signed contract proves mutual assent. In the absence of a
written contract, mutual assent can be demonstrated by the actions the parties
take after the offer is made and accepted. For example, mutual assent might
be when you’ve sent a deposit to the graphic designer, and they’ve provided
you with three rough concepts for your logo.
4. Consideration” is what is paid in exchange for goods or services.
Consideration is usually but not always money. A lawyer might write a lease
agreement for an accountant in exchange for the accountant doing the
lawyer’s taxes.
5. In contract law, “capacity” is the presumed ability of a person to understand
the terms, obligations, and consequences of signing a contract. Some parties,
such as minors, people suffering from illnesses like dementia, and anyone
under the influence of alcohol or drugs are presumed to lack the capacity to
sign a binding contract
6. To be legal, the contract must adhere to the law in the jurisdiction where it’s
signed.For example, let’s say you sign a contract to lease your garage for $100
per week to a very loud rock band for practice beginning at 11 p.m. You later
learn their practice violates a local noise ordinance. That contract is void,
regardless of whether you like the music and the band paid the rent.
LEARN
TO
LIVE
INTERNATIONAL CONTRACT LAW QUES/ANS
PROF. KRISTINA PILIK
QUES.1 What is Contract ?
ANS. A contract is a legally binding document between at
least two parties that defines and governs the rights
and duties of the parties to an agreement. A contract is
legally enforceable because it meets the requirements
and approval of the law.
QUES.2 What are the essential elements of a contract? Name and
Explain.
ANS. Seven essential elements must be present before a contract is binding: the
offer, acceptance, mutual assent (also known as “meeting of the minds”),
consideration,capacity, and legality. Contracts are typically in writing and
signed to prove all of those elements are present.
1. The “offer” is the promise one party makes to pay the other for their services.
For example, you might agree to pay a graphic designer $1,000 to create a
logo for your business. You agree to pay a deposit and the balance upon
delivery of the logo electronically, in formats you can use for both print and
online marketing.
, 2. “Acceptance” is when the other party agrees to perform the task for the
compensation specified in the contract. In this example, it’s when the graphic
designer agrees to the price and accepts the deposit.
3. “Mutual assent” is the combination of a valid offer and acceptance between
the parties. A signed contract proves mutual assent. In the absence of a
written contract, mutual assent can be demonstrated by the actions the parties
take after the offer is made and accepted. For example, mutual assent might
be when you’ve sent a deposit to the graphic designer, and they’ve provided
you with three rough concepts for your logo.
4. Consideration” is what is paid in exchange for goods or services.
Consideration is usually but not always money. A lawyer might write a lease
agreement for an accountant in exchange for the accountant doing the
lawyer’s taxes.
5. In contract law, “capacity” is the presumed ability of a person to understand
the terms, obligations, and consequences of signing a contract. Some parties,
such as minors, people suffering from illnesses like dementia, and anyone
under the influence of alcohol or drugs are presumed to lack the capacity to
sign a binding contract
6. To be legal, the contract must adhere to the law in the jurisdiction where it’s
signed.For example, let’s say you sign a contract to lease your garage for $100
per week to a very loud rock band for practice beginning at 11 p.m. You later
learn their practice violates a local noise ordinance. That contract is void,
regardless of whether you like the music and the band paid the rent.
