subtopic-contracts

essential elements of a contract

1. Legally competent

2. Legal purpose

3. Offer was made and accepted

4. A fee has been negotiated and documented

5. Consent was voluntary

What is the meaning of “good faith” in relation to contract law

The parties agreed that they’ll execute the contract to the best of their ability and without any fraud or misrepresentation

What is a valid contract that is in the process of that one or more terms of agreement remain un undone

Executory

Which remedy is used during a breach of a contract if provided a specific compensation amount in the event of a breach

Liquidated damages

What is rescission

When both parties mutually agree that it makes sense to terminate the contract

What is it called when one party wants out and the other agrees to release that party from any obligations

Release

What is it called if a contract substitutes a new party for the original one, but doesn’t necessarily release the original party from all legal obligations surrounding the contract

Assign/ Assigning

What is the UETA

An attempt to standardize Acceptance of electronic documents and signatures, But state laws govern the use of these electronic items and will take precedence of the UETA

What is a bilateral contract?

Involves an agreement between two parties each of whom makes a promise to the other party

What is a unilateral contract?

Is one in which only one party makes a promise to another

What are the contract clauses and what do they mean

1. Time of the essence- Is a way of saying that no party should create undo delays in the contract process

2. Statute of limitations- A law that sets a strict maximum time limit within which a person must follow a lawsuit after an event or dispute curse. Think of it as a legal expiration date for bringing a claim to court

What does amendment mean

it changes existing contract terms. Once signed by both parties, it becomes a part of the contract with the same legal weight as the original contract and the remaining terms in the original contract remain the same

What is addendum

An additional document included with the contract before it’s signed. It usually introduces terms and conditions beyond those covered in the primary contract and is submitted along with the contract offer for signatures

What is the difference between acceptance and binding acceptance?

Acceptance is when both parties sign the contract. Binding acceptance is when the signed contract is delivered to all parties