Contract Formation & Incorporation

This document provides an overview of contract formation and incorporation in business law. It explains the elements of a valid contract and discusses the concept of invitation to treat. A case study is included to illustrate these concepts.

Contract Formation &
Incorporation

INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
MAIN BODY..................................................................................................................................4
CONCLUUSION.............................................................................................................................6
RFRENCES.....................................................................................................................................7

INTRODUCTION
Business laws are the laws that help in making an organization form itself in more
effective manner. In these laws various kinds of rules and regulation has been formed which
makes organization operate in more organized manner. Business laws are studies with the help of
contract law which makes an organization form strong agreement which is based upon various
processes within an organization. Also contract law deals upon all kinds of transaction within
which agreement is been formed. In other words contract law makes framework over making
agreement become legal contract. Further contract law is focused upon making business
transaction don in more effective manner. Scope of these laws is wider as they impacts working
of an organization in relation to agreement formed. The file covers about contract law and
various aspects related to it. In this file a case study is given and questions are required to be
answered in relation to it.
MAIN BODY
Case study: In this case Angharad runs a building business over services which makes
advertises within local print and online media. Bridie contacts Anghrad for making a wall built in
her garden and provides over description drawing of planned wall. Anghard responds by return
and quotes a price of five hundred euro in writing with stipulation over the offer remains open
for period of ten days. Bridie emails Angharad within ten days period that she is not going accept
the quotation. A couple of days later second thought come and Bride email back that she accept
the quotation after all. Angharad emails back that she is ready to accept the quotation after all.
Anghard emails back that price is now six hundred euro.
MAIN BODY
Explain what is contract these are the laws that has been formed in relation over two
parties which makes agreement to be formed as legally binding contract with their rights and
duties. Also contract covers about requirements that is been approved by laws. Contract has been
legally enforced only when it meets the requirements and approval of the law. A contract
typically involves the exchange of goods, service, money, or promise of any of those. In these
law tow parties exists which makes agreement formed with each other. Also contract laws are

based over the agreement formed between parties which can be both written and unwritten form.
Other words contract has been formed over mutual assent which is based upon two or more
persons coming together with common motive of earning profit through contract. The contract is
been formed through various kinds of elements which makes legality increased of contract and
agreement formed. Further the making of a contract requires the mutual assent of two or more
persons, one of them ordinarily making an offer and another accepting. If one of the parties fails
to keep the promise, the other is entitled to legal redress. The law of contracts considers such
questions as whether a contract exists, what the meaning of it is, whether a contract has been
broken, and what compensation is due the injured party. Also contracts are laws which make an
agreement to be formed as contract. All agreements cannot be contract but an agreement can be
contract (Goldberger, 2019). Contracts are one of the most simple form of law used for making
binding contract. Conditions of forming contract in a contract various kinds of elements are
present which makes a contract to be valid within the eyes of law. The elements are offer,
acceptance, obligation, legality and validity all elements make agreement turned into contract.
In offer only idea in relation to the contract is been presented by the party willing to form
contract. Offer only means ideas that have to be presented by an party willing to come into
contract. Acceptance this is second important element present in relation over contract formation.
In this idea or the offer made is been accepted by both the parties which is known as acceptance.
Obligation these are those rules which are bound to be followed by parties and is been formed
after making discussion upon various kinds of aspects covered within the contract. Validity this
based upon checking over the validity in relation of contract and rules formed by the parties.
Legality this is based upon seeing that weather all kinds of contract has been formed in legal
manner or not. In this element it is checked over contract that it is been done in legal manner or
not. These elements are used for providing contract validity in an contract. Also these elements
are important for providing framework that makes an contract to be valid. Advise Angharad
and Bride over the negation done in relation of contract been formed in this case contract
has not been formed only invitation to treat exists which says that offer has been presented but
no accepted. So, it can be observed that contract is not formed and only invitation to treat exists.
Under it offer requires to be distinguished from invitation made and treated. In this treat cannot
be accepted only offer can be made in the form of invitation. Further the invitation over treat
cannot be considered as a contract. In relation to this various kinds of cases has been explained

as follows. Harvey v Facey in this case Harvey sent a Telegram to Facey which stated about
using of Bumper Hall Pen and the telegraph offer about the lowest price. Answer with paid and
then Facey replied by telegram that lowest price that has been offered for Bumper Hall Pen is
£900. Over which Harvey replied that "We agree to buy Bumper Hall Pen for the sum of
nine hundred pounds asked by you. Please send your title in order to get early possession upon
it. In this case Privy Council held that since there was not an contract taken place between
parties. In this face has not been directly answered first question over selling the pen at lowest
price and only responded to request. In this there has been no offer made or even the intention to
make an offer is been build (Ghorbani and Albe, 2018).
Another case Pharmaceutical Society of Great Britain v Boots in this case Boots has
introduced then new self services system in there shops within which customers would pick up
goods from shelf and then required to put back in basket and then take cash till to pay. The
Pharmaceutical Society of Great Britain brought has brought action upon determining of legality
over system regarding sales of pharmaceutical products upon requirements by law which has
been sold in the presence of pharmacists only. That is where contract has been brought into
existence. In this court held that Goods over the shelf constitute in relation over invitation to treat
is an offer. Under it customer takes goods and has made offer over purchasing it. The shop has
only provided a condition over selecting the offer or not. Thus contract is been concluded till the
presence of pharmacist. The essay has discussed about contract and aspects related to it. In this
definition of the contract in detail has been explained. Further various kinds elements which
makes a contract to be valid is been discussed and then an case law is been talked which explain
about invitation to treat(De Witte and et. al. 2020).
CONCLUUSION
From the above the essay it can be concluded that business law are the laws which make
rules and regulations formed in making business organization formed in more organized manner.
Then in this contract law has been explained which means those laws which is making an
contract turned in valid contract with the help of legislation formed under contract act. Then in
this essay various elements is discussed which makes a contract valid in more organized manner.
Further essay makes concept of invitation to be clear with the help of case laws.

RFRENCES
Books and Journals
Barr, T.L and et. al.., 2018. Development of indigenous enterprise in a contemporary business
environment–the Ngāi Tahu Ahikā approach. Journal of Enterprising Communities:
People and Places in the Global Economy.
Lindheim, S.R., Christianson, M.S. and Sanfilippo, J., 2021. The need for business in
reproductive medicine. Fertility and sterility, 115(1), pp.4-6.
Nuseir, M.T., Aljumah, A. and Alshurideh, M.T., 2021. How the Business Intelligence in the
New Startup Performance in UAE During COVID-19: The Mediating Role of
Innovativeness. The Effect of Coronavirus Disease (COVID-19) on Business Intelligence,
pp.79-63.
Ovadia, S.A and 2018. Education on the business of plastic surgery during training: a survey of
plastic surgery residents. Aesthetic plastic surgery, 42(3), pp.886-890.
Pascal, A.M., 2021. Business and human rights, from theory to practice and law to morality:
Taking a philosophical look at the proposed UN treaty. Philosophy of Management,
20(2), pp.167-200.
Soluk, J and et. al., 2021. Family influence and digital business model innovation: the enabling
role of dynamic capabilities. Entrepreneurship Theory and Practice,
p.1042258721998946.
Zufall, J., Norris, S., Schaltegger, S., Revellio, F. and Hansen, E.G., 2020. Business model
patterns of sustainability pioneers-Analyzing cases across the smartphone life cycle.
Journal of Cleaner Production, 244, p.118651.