 I can explain and identify all five elements of a valid contract.

Slides:

Advertisements

Similar presentations

Contracts and Contract Law

Advertisements

Introduction to Contract Law MBAD 5191: Legal Environment in Business.

ES 2.00 UNDERSTAND CONTRACT LAW

Indian Contract Act, Indian Contract Act 1872.

BELL QUIZ ON CHAPTER 5 What is any agreement that is enforceable by law? There are six elements of a contract. Name TWO. How many promises does a bilateral.

Bus Law..Spr 2015 POWERPOINT #2. BUSINESS LAW: Friday, February 13, 2015  EQ: Understand contract law.  Understand elements and characteristics of a.

THE LEGAL ENVIRONMENT OF BUSINESS © 2009 Pearson Education, Inc. publishing Prentice Hall Ch The Legal Environment of Business A Critical Thinking.

CONTRACT Law Offer & Acceptance Genuineness of Assent Consideration

UNIT 4: Consumer and Housing Law Chapter 23 Contracts

© OnCourse Learning Chapter 7 : Contract Law. © OnCourse Learning A legally enforceable agreement to do (or not to do) a particular thing.

Chapter 7 – How Contracts Arise

McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved.

Business Law Chapter 1: An Introduction to Contracts.

Ag Business. A social agreement between 2 or more parties which sometimes may not be legal A legally binding agreement that is enforceable by law. Definition:

Nasca The taking back of an offer by the offeror is cancellation. consideration. rejection. revocation. revocation 100.

Contracts BCS-LEB-4 The student identifies rights and responsibilities of contract negotiations. BCS-LEB-8 The student explains the legal rules that apply.

A General Introduction to Contract. Definition of a contract A contract is an agreement between competent parties based on the genuine assent of the parties,

Creating an Enforceable Contract OBE 118, Section 10 Fall 2004.

ENTERING INTO CONTRACTS Sunny Hills High School Business Law Mrs. Larsen.

Rights and Duties of the Funeral Director Sources of Duties 1)Laws and Regulations 2)Common Law 3)Funeral Contract.

Real Estate Contracts.

CONTRACTS. CHAPTER 4: What is a Contract? Contract is any agreement enforceable by law. Not all agreements are contracts Agreeing to take out the trash.

Making a Contract Enforceable OBE 118, Section 3 Fall 2004 Was Consideration given? Was there Capacity to Contract? Legal Subject Matter? Was there Genuine.

Real Estate Principles and Practices Chapter 6 Contracts and Business Law © 2014 OnCourse Learning.

Genuine Agreement Mr. Sherpinsky’s Business Law Class.

Capacity And Genuine Agreement. 6 parts to a Contract Offer Acceptance Capacity Genuine Agreement Consideration Legality.

Contract Basics Business Law. From tort law to contract law TortContract What binds individuals Laws of society, as defined by statutes and precedents.

© 2004 West Legal Studies in Business A Division of Thomson Learning 1 I. Introduction I. Introduction II. Elements of a contract II. Elements of a contract.

Section 4.1 Agreements and Contracts. Section 4.1 Agreements and Contracts.

 A contract is any agreement enforceable by law.  There are 3 theories behind contract law: 1. Equity Theory of Contract: whether parties to a contract.

Section 4.1 Agreements and Contracts Section 4.1 Agreements and Contracts A contract is any agreement enforceable by law.

How Contracts Arise Chapter #5.

Chapter 7 Contract Formation Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent.

THE LEGAL ENVIRONMENT OF BUSINESS A Critical Thinking Approach Fourth Edition Nancy K. Kubasek Bartley A. Brennan M. Neil Browne Nancy K. Kubasek Bartley.

Chapter 10 Offer and Acceptance. What is a Contract? n Contract - an agreement that is enforceable by law n Offeror - the person who makes an offer n.

How Contracts Arise What Are Contracts? Any agreement enforceable by law.

I. Capacity A. Definition B. Limited capacity 1. those persons with a lesser ability to contract 2. three major groups of persons have this protection:

What are the elements of a contract? There are 6 major requirements that must be satisfied before courts will treat a transaction as a legally enforceable.

Week 04 Agreements and Contracts. Contracts A contract is a legally enforceable agreement between two or more competent persons. A valid contract is one.

CONTRACT LAW LAW II CONTRACT LAW. INTRODUCTION CONTRACT: An agreement between two or more parties that creates obligations enforceable by law. A contract.

C ONTRACTS Goal: List and explain the 5 elements of a valid contract.

Real Estate Principles and Practices Chapter 6 Contracts and Business Law © 2010 by South-Western, Cengage Learning.

Bell Ringer What is fraud? What is an innocent misrepresentation? Did anyone do anything fun over break?

Jody Blanke, Professor Computer Information Systems and Law Mercer University, Atlanta.

PA Kaplan University1 Unit 6: CONTRACTS. PA Kaplan University2 Overview of Contract Law Sources of Contract Law. – Common Law for all contracts.

Bell Ringer What should a contract be based on? What things should be included in a contract? What things could make a contract no longer applicable?

Chapter 5 How Contracts Arise. Contract: Any agreement enforceable at law.

CHAPTER 5 Contracts. Contract- is any agreement enforceable by law Offer- is a proposal by one party to another intended to create a legally binding agreement.

Contract Contracts are agreements between two or more parties that create obligations. Characteristics of Contracts Valid, void, voidable or unenforceable.

Section 6.2 Voidable Contracts and Remedies. Section 6.2 Voidable Contracts and Remedies A contract that seems to be valid can be voided if the agreement.

© 2011 South-Western | Cengage Learning GOALS LESSON 2.1 CONTRACT LAW BASICS Name the six essential elements of a legally enforceable contract Identify.

GENUINE AGREEMENT.

Offer and acceptances Elements of a contract? Requirements of an offer? How do you keep an offer open? How are acceptances created? How to prevent legal.

Contract Law: Genuine Agreement Objective 3.01 Understand requirements of each element of a contract.

Chapter 6 Offer and Acceptance (6.1 Creation of Offers; 6.2 Termination of Offers, 6.3 Acceptances) Unit 2 Contract Law.

Understanding Business and Personal Law Fraud and Misrepresentation Section 6.1 Genuine Agreement If the offeror makes a valid offer, and the offeree has.

Chapter 9 Contracts. Definition of a Contract Definition A contract is an agreement that is enforceable by a court of law. A contract is a promise or.

Genuine Agreement A valid offer has been made by the offeror, and a valid acceptance has been exercised by the offeree.

Contracts Review Chapters 7-12.

Section 4.1 Agreements and Contracts. Section 4.1 Agreements and Contracts.

Chapter 5: How Contracts Arise

LAW ELEMENTS OF A CONTRACT.

The Nature of a Contract

Business Law Rustemeyer

Jeopardy T/F 1 T/F 2 MC 1 MC 2 Random Q $100 Q $100 Q $100 Q $100

Contract Law Jody Blanke, Professor

Genuine Agreement A valid offer has been made by the offeror, and a valid acceptance has been exercised by the offeree.

Contracts and Contract Law

Presentation transcript:

 I can explain and identify all five elements of a valid contract.

 A legally binding agreement between two or more people.  Five Elements MUST be present in order for a contract to be valid.

1. Eating at a restaurant 2. Hiring the 13 year old next door to baby-sit 3. Asking a girl to the prom 4. Getting married 5. A wager on a football game with your friend 6. Turning the heat on in your house 7. Taking a class at Harper 8. Buying a house 9. Friday night poker game Are these contracts?

 1. Offer & Acceptance – mutual assent A. Offer  Definite offer or proposal  Person placing the offer (the offeror) intended to be bound by it

B. Acceptance : ▪ Reasonable communication ▪ Cannot accept with silence ▪ Must come from the person to whom the offer was made (the offeree) ▪ Acceptance of material

 2. Competent Parties  May not be competent: ▪ Minor, there are exceptions! ▪ Not valid on necessities ▪ Cannot be voided after 18 years old ▪ Business owners are not considered minors ▪ Intoxicated ▪ Mentally impaired

 3. Legal purpose  No contracts for stolen/illegal goods  What if you didn’t know??  4. Consideration  Exchange of services: every contract must have consideration ▪ Benefit and detriment (gain or loss) ▪ What about Promises: are they enforceable? ▪ NO – no mutual gain/loss

 5. Proper Legal Form  Assumed  Oral  Written ▪ Over $500 ▪ Real Estate ▪ Debt ▪ More than one year to complete ▪ Marriage

1. Eating at a restaurant YES 2. Hiring the 13 year old next door to baby-sit YES (for the adult only – voidable for the 13 year old) 3. Asking a girl to the prom YES??? (If both are 18) 4. Getting married YES 5. A wager on a football game with your friend NO 6. Turning the heat on in your house YES 7. Taking a class at Harper YES 8. Buying a house YES 9. Friday night poker game NO Are these contracts?

 They are only an intent to sell, not a legal offer!

 Age 18  Day before birthday  Age of majority binds prior contract  Marriage terminates minority status  Emancipated minor

DEFECTIVE AGREEMENTS Not Enforceable!  Misrepresentation (Fraud)  Selling something under false pretenses  intent to commit fraud  Undue Influence  Conniving relative  Concealment of vital facts  House was flooded at one time  Threat or force  Sign this contract or else……

1. Unilateral: (one-sided)  CONTRACT IS VALID 2. Mutual Mistake: ( both parties made an error)  CONTRACT IS VOIDABLE!

 The consumer is protected by Federal law which provides uniform protection across state borders  RULES REGARDING CONTRACTS ARE THE SAME STATE TO STATE! Why???

 Must be 18 years of age or older  Dollar amount varies from state to state  You do not need a lawyer!