Sales Contracts and Business Structures

Flashcards covering key concepts related to sales contracts, business structures, legal obligations, and branding.

What are the legal requirements for a valid sales contract?

Bilateral nature, mutual declaration of intent, voluntariness, legality, feasibility, and legal capacity.

What are the four key elements required for a legally binding contract?

Offer, acceptance, consideration, and intention to create legal relations.

How does B2C contract regulations differ from B2B contracts?

B2C contracts have strong consumer protections; B2B contracts rely more on mutual agreements due to equal negotiating power.

What is a seller's obligation in a sales contract?

Deliver goods/services as specified in the contract.

What rights does a buyer have in a sales contract?

Receive goods in the agreed condition and time; reject defective goods.

What happens in the case of a breach of contract?

The non-breaching party may claim damages, seek specific performance, terminate the contract, or obtain restitution.

What are common types of business contracts?

Fixed-price contracts, cost-plus contracts, time and materials contracts, framework agreements, licensing contracts, and service-level agreements.

What is the significance of the legal capacity of parties in a contract?

Both parties must have the legal ability to enter into contracts, typically meaning they are of legal age and mentally competent.

What rights do franchisees typically have under a franchise agreement?

Access to training, support, and an established brand.

What is a credit contract and what are its typical clauses?

A credit contract details the terms of borrowing; clauses include loan amount, interest rate, repayment terms, collateral, default penalties.

What is the difference between a sole trader and a limited company?

A sole trader has unlimited liability; a limited company's liability is limited to its share capital.

What are the different types of intellectual property?

Patents, trademarks, copyrights, and trade secrets.

How does a public limited company differ from a private limited company?

An AG can sell shares to the public and has a higher capital requirement; a GmbH cannot offer shares publicly.

What factors influence consumer perception of a brand?

Memorable logos, catchy slogans, consistent colors/design, and clear brand values.

What is the role of branding in a company’s success?

Branding creates a unique identity that helps differentiate a company in the market, builds trust and customer loyalty.

What are the legal requirements for a valid sales contract?

Bilateral nature, mutual declaration of intent, voluntariness, legality, feasibility, and legal capacity.

What are the four key elements required for a legally binding contract?

Offer, acceptance, consideration, and intention to create legal relations.

How does B2C contract regulations differ from B2B contracts?

B2C contracts have strong consumer protections; B2B contracts rely more on mutual agreements due to equal negotiating power.

What is a seller's obligation in a sales contract?

Deliver goods/services as specified in the contract.

What rights does a buyer have in a sales contract?

Receive goods in the agreed condition and time; reject defective goods.

What happens in the case of a breach of contract?

The non-breaching party may claim damages, seek specific performance, terminate the contract, or obtain restitution.

What are common types of business contracts?

Fixed-price contracts, cost-plus contracts, time and materials contracts, framework agreements, licensing contracts, and service-level agreements.

What is the significance of the legal capacity of parties in a contract?

Both parties must have the legal ability to enter into contracts, typically meaning they are of legal age and mentally competent.

What rights do franchisees typically have under a franchise agreement?

Access to training, support, and an established brand.

What is a credit contract and what are its typical clauses?

A credit contract details the terms of borrowing; clauses include loan amount, interest rate, repayment terms, collateral, default penalties.

What is the difference between a sole trader and a limited company?

A sole trader has unlimited liability; a limited company's liability is limited to its share capital.

What are the different types of intellectual property?

Patents, trademarks, copyrights, and trade secrets.

How does a public limited company differ from a private limited company?

An AG can sell shares to the public and has a higher capital requirement; a GmbH cannot offer shares publicly.

What factors influence consumer perception of a brand?

Memorable logos, catchy slogans, consistent colors/design, and clear brand values.

What is the role of branding in a company’s success?

Branding creates a unique identity that helps differentiate a company in the market, builds trust and customer loyalty