Contract Law: Remedies and Formation
Added on 2020-12-04
10 Pages3885 Words60 Views
|
|
|
Aspects of contract and BusinesslawLevel 3Ahmad Tabraze
Task 1P1. Identify the legal criteria for offer and acceptance in a valid contract?A written or expressed agreement between two or more parties for providing a product orservice is known as valid contract.it must consist. A legal contract includes offer, consideration,intention, capacity and acceptance. For an enforceable contract the starting point is offer andits acceptance. There are different types of contracts some are verbal, and some are written.Verbal contracts are done between friends and well-known persons by discussing the termsverbally. On the other hand, written are usually used for business purpose and consist detailedwritten terms and conditions of the contract. The benefits of using standard form writtencontract are that its cheap, avoid negotiation, had no chance of dispute and provable in court.A legal contract must have four of its essential elements. Firstly, a contract must have clear andobvious offer to do something. A contract must have starting and expiry date that a contract isnot validated after that date also a contract must be specific in its terms and conditions. Lastlyin a contract it is required that a contract must have a legally binding agreement between bothof the parties, that this agreement can be altered, or enforced by law. It’s illegal to make acontract with minor, both of the parties must have at least 18 year of age. OfferAn offer is a proposal that is intended to be followed, an offer is considered as the starting pointof contract. The offer is a promise that this shall be enforced by law on the acceptance of offerby recover. When offer is made both of the parties must be aware of the offer, either verballyor written. The offer must be valid and clear and doesn’t have any ambiguity in it. AcceptanceA valid contractshouldhavea suggestionthatought tobeaccepted,thoughafter weverifyacceptance therearemanyfactors that tobethought-about. Thehelpershouldbe notified on the acceptanceofprovide. The acceptanceshouldbewithin thekindofspecificationsgivewithin time,thoughif nokindis mentioned then writtenor oral acceptancecando. Ifthe tacticof acceptance satisfiestheprovideandhelperisn'tprejudiced, then it doesn’t matterthatit'sacceptedwithin theneededkindor not. The acceptanceshouldbeunconditional,absoluteandunqualified.agoodacceptanceshouldbeproperlyself-addressed,sealedevolvedisdenotewithin theletterbox.During thiscase if letter gets delayedorne'erreach the destination then theprovideacceptancecontinues tobethought-aboutvalid onthe availabilityoffaculty memberof postage.
ConsiderationConsideration is given by both contracting parties that persuade them towards reaching anagreement in exchange of mutual performance. Each party must give up something of value toit, thing doesn’t need to be expensive it must be thing of value to the party. Consideration is animportant element in contract because it may consist of promises of doing something or refrainon an undesired act. Consideration can be in two forms; executed consideration and executoryconsideration. Executed consideration is an act in exchange of promise, such as reward casewhere a person promises of payment on the completion of work. On the other hand, inexecutory consideration both party’s exchanges promise on doing things in future. A contractwill not be valid if it has an illegal consideration. P2. Explain the law in relation to theformation of a contract in a given situation.In this assignment, I will be explaining contract formation law within the given situation. Thecontract I will be using is between Micheal who is returning the bike and asking for reward andJune who refuses to pay the reward amount. It is legally required to have clear terms ofcontract because its essential for any of the contract. The benefit of having clear terms is thatboth of the parties have full knowledge of the contract and its conditions. To have the clearterms the wording should be specific and have no misunderstanding language. This will help inthe reduction of breach of contract and issues that could happen by misunderstanding incontract by ether party.In the given situation the Micheal shouldn’t return the bike to June without being rewarded asshe clearly breaches the contract. The Micheal must sue her on that breach as theadvertisement doesn’t states any of withdrawing date of the offer.
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents