University Business Law Assignment: Contract Law and Agreements

This Business Law assignment explores the fundamental differences between contracts and agreements. The solution explains that while all contracts are agreements, not all agreements are contracts, emphasizing the legal obligations and intentions required for a contract to be valid. It discusses the elements of a contract, including offer, acceptance, and consideration, and contrasts them with agreements that may lack legal enforceability, such as social or moral agreements. The assignment provides examples to illustrate these concepts, referencing relevant legal literature. This analysis aims to clarify the distinctions between legally binding contracts and other types of agreements, highlighting the importance of legal intent and enforceability.

Running head: BUSINESS LAW
Business Law
Name of the Student
Name of the University
Author Note

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Table of Contents
Discussion........................................................................................................................................1
Reference.........................................................................................................................................3

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"Even though all contracts are agreements, not all agreements are contracts."
Discussion
All contracts are agreements but all agreements are not contract is a valid and true
statement. A contract is formed for binding legal relationship and agreement where more than
one party can perform according to their acts. There must an offer that should be accepted by
another party with mutual consideration (Knapp, Crystal and Prince 2016). The parties should
have intention to make a legal relation and create a contract which is involved with lawful
matters. In the contract both of the parties can freely perform according to the terms of the
contract (Fried 2015).
If A has make some promises to sell a house to B for $20,000 and B make the promises
to buy that house from A then it is a contract (Fried 2015).
When a contract is form, an agreement is essential for it. A contract never considered as a
contract without an agreement because when there is a contract there should be an agreement
which is made but an agreement is never form where no contract is present (Knapp, Crystal and
Prince 2016).
An agreement is form for make the cross referencing between different parties where it
can make written or oral or according to the requirement of the parties and that can be
enforceable. An agreement always forms as per the promise which set the consideration for each
of the party in the agreement (Fried 2015).
An agreement is not contract because it arise legal obligation for both of the parties.
When an agreement failed to create according to the promise then it’s never considered as a

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contract (Knapp, Crystal and Prince 2016). Agreement of moral religious or social natures
always makes the duty enforceable by the law for parties who never make the intention to make
it by legal consequences (Fried 2015).
If A invite D to dinner and D accept the invitation but not intend to attend the dinner
therefore no contract has been produce and A also not able to take any action against D for
damages. Therefore it is not a contract (Knapp, Crystal and Prince 2016).

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Reference
Fried, C., 2015. Contract as promise: A theory of contractual obligation. Oxford University
Press, USA.
Knapp, C.L., Crystal, N.M. and Prince, H.G., 2016. Problems in Contract Law: cases and
materials. Wolters Kluwer Law & Business.