Essentials of Business Law Essay Example for Free

Essentials of Business Law Essaythither atomic number 18 many types of chooses made between people, however there are several guidelines to follow for the contract to be effectual. A contract is defined as an official symmetricalness which pot be scripted or an oral agreement. A contract is a promise that is made between two or more people and can be formal or informal. There are six factors that straighten out the contract legitimate, if these atoms arent present in the contract then it is not considered to be valid.The first element of importance would be that the two parties must have an offer. An offer is the actual promise or agreement that needs to be decided upon because this is what makes the whole contract exist. In order to make a valid offer, there should be at to the lowest degree two people or more so that they can create a well-grounded contract. Then the offer must be accepted by the early(a) party/parties to be a legal valid contract. Both parties mus t fully be alive(predicate) of what is being offered as well as what the other party must do in return. erst the offer is made in a contract, the other party must accept the offer. The contract cannot be official without the other party accepting the offer. The other party can accept the offer that is being made by writing or verbally.The next important element in the contract is consideration. love is when the other party gives something back in response to the offer being made. Consideration is anything of value that is apt(p) in exchange for goods or services, and is used to induce the other party to enter into a contractual agreement. This makes the contract similar to an exchange between the two parties. In order for a contract to be legally valid, there must be a consideration.Although the Contracts Act 1950 does not state anything on the necessary of the intention to create legal relations, it is considered very important to have this element when making a valid legal c ontract. This element is an agreement that is not a contract unless it is in the common intention of the parties that it should be legally enforced. Such as an agreement made between two people about belongings that should be inherited after a persons death.Certainty is another important element in the contract, the guidelines and rules that are made in a contract must be clearly verbalise and understood by both parties involved in the contract. The agreement must be certain or the contract will no longer be valid.Capacity in the contract is described as the parties in the contract having the legal capacity to carry out the contract. The parties must be at least of the age of 18 or older. Minors or people below the age of eighteen do not have the capacity to enter into a valid contract legally. All types of contracts are divergent, for representative some are long and contain a lot of legal termination while others are written in simple English and are only a page long. Contracts are in any case used for many different reasons such as for large corporate businesses to personal matters. The many different type of contracts are created for many different purposes such as fix-price contracts, labor contracts, and time- material contracts to name a few. These contracts are created different but they are still required to meet all the expectations of a legal valid contract.ReferencesRogers, S. (2012). Essentials of Business Law. San Diego, CA Bridgepoint Education, Inc.