Contracts

Contracts

Contracts

Fundamental agreements that create rights and duties for both parties involved.

Promisor

The person who initiates the contract.

Promisee

The person who receives the contract.

Punitive damages

Damages that are not awarded in cases of breached contracts.

Valid, enforceable contracts

Contracts that have an offer, acceptance, agreement, consideration, capacity, and legality.

Consideration

The exchange of something of value in a contract.

Capacity

The ability to enter and fulfill a contract.

Defenses

Claims that can be made to leave a contract, such as mistake, fraud, or duress.

Statute of Frauds

Requirement for certain contracts to be in writing under specific conditions.

Click on / wrap agreement

Terms of service that become legally binding when a user clicks "accept" on a website.

ESIGN Act of 2000

Legislation that validates electronic agreements.

Plain Language Rule

Contracts are interpreted based on the written language without considering context.

Offer

An invitation to make a contract.

Classifications of contracts

Void, valid, voidable, unenforceable.

Implied contracts

Nonverbal or unwritten contracts.

Express contracts

Verbal or written contracts.

Unilateral contracts

Contracts that require action to be fulfilled.

Bilateral contracts

Contracts between two parties to exchange consideration.

Executed contracts

Contracts in which all elements are completed.

Executory contracts

Contracts that are not fully performed.

Mailbox rule

An offer is valid once it is sent, regardless of whether it is received.

UCC (Uniform Commercial Code)

Governs standardized transactions, particularly the sale of goods.

Mirror image rule

A written contract should match the valid offer.

Substantial performance

Partial completion of a contract may still require performance.

Impossibility of performance

Circumstances that make it impossible to fulfill a contract.

Detrimental reliance / Promissory Estoppel

Protects individuals who rely on promises made by others.

Unconscionability

Contracts that are harsh, shocking, or grossly unfair.

Specific Performance

Court order to enforce a contract or provide damages.

Minors

Individuals under the legal age of adulthood.

Disaffirmance, Avoidance

Minors' right to cancel and refuse to honor contracts.

Emancipation

Divorce from parents, removing parental support for a minor.

Mandated Contracts Which Minors Cannot Avoid

Contracts that minors are obligated to fulfill, such as tax returns or military service.