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Paper Topic:

Four elements of a valid contract

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A contract can be defined as a promise or an agreement which is legally biding or enforceable in a court of law . For a contract to come into existence there are various elements that have to be present . They include

offer and acceptance

intention to create legal relations

consideration

capacity to contract

free consent

lawful object

possibility of performance

Offer and acceptance

An offer is defined as an expression of willingness to enter into a

contract on definite terms , as soon as these terms are accepted . For any contract to come into existence an offer must be made . Therefore an offer becomes the starting point of any valid contract . An acceptance is an assent to the offer and must correspond to the term of the offer

Intention to create legal relation

There must be an intention between the parties that the agreement should be by legal consequences and create legal obligation

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Lawful consideration

Consideration can be said to be the price paid by one party for the promise made by the other . An agreement is legally enforceable only when each of the parties to the contract gives something and gets something

Capacity of the parties

The parties to an agreement must be competent to contract . In to be competent to contract the parties must be of the age of majority , of sound mind and must not be disqualified from entering into a contract by a court of law

Lawful object...

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