Project Management and Legal Aspects: Detailed Contract Analysis

This report delves into the critical intersection of project management and legal aspects within business contracts, using a real-world contract example for analysis. It begins by examining the offer and acceptance phases essential for contract formation, highlighting the legal binding that occurs upon acceptance. The report then discusses the subject matter of the chosen contract, focusing on the trade of raw materials and related conditions like returns for damaged goods. Further analysis identifies and differentiates between conditions and warranties within contract terms, emphasizing dispute resolution mechanisms such as mediation. Finally, it describes the contract management practices employed to effectively administer and manage contract-related liabilities. This analysis provides a comprehensive understanding of how legal considerations are integrated into project management for successful contract execution. Desklib offers a wealth of similar resources for students.

Running head: PROJECT MANAGEMENT AND LEGAL ASPECTS
Project Management and Legal Aspects
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PROJECT MANAGEMENT AND LEGAL ASPECTS
Table of Contents
Part 1................................................................................................................................................2
Part 2................................................................................................................................................2
Part 3................................................................................................................................................2
Part 4................................................................................................................................................3
Part 5................................................................................................................................................3
Reference.........................................................................................................................................4

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PROJECT MANAGEMENT AND LEGAL ASPECTS
Part 1
The offer and acceptance relating to a contract forms a major part of the contract of the
business. A valid contract can only arise when there is a valid offer made by the business and a
valid acceptance is also required. A business which wants to purchase of any raw materials or
supplies from another company. Our company offered to purchase a quantity of goods at a
certain level of price in reply to an advertisement made for supplies which can be treated as
invitation to an offer (McKendrick, 2014). My company has recently entered into a contract with
some other company for supplies. The offer was made by our business to the company for a
particular price and quantity. The offer was accepted by the offeree and thus came into existence
a contract which would legally bind both the parties (Poole, 2016). This is considered as
acceptance of the contract which was provided by a confirmation. This results in creation of a
legal contract.
Part 2
The subject matter of the contract which we entered into involved trade of raw materials
in bulk quantities from the supplier. The raw material is an essential part of the manufacturing
process which our company has entered. The contract also stated for any damaged product would
be returned to the supplier which would be needing replacement. The contract also specified the
price at which such raw materials were to be purchased.
Part 3
Condition may be defined as terms of contracts which the contractual parties need to
consider while entering into a contract. There are two types of conditions which are general
condition and special condition (Zlatkovic & Porter, 2013). In our case, the contract which our

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PROJECT MANAGEMENT AND LEGAL ASPECTS
business entered specified certain general conditions which are applicable to all contracts such as
return of goods in case some damaged good were provided, the performance of the contract
should be met within the time period allowed.
Warranty on the other hand, is a guarantee which is provided by one party to another that
the information which are given are true and the same is provided by the seller which gives the
buyer some protection regarding the products. Warranty can be provided for different areas and
can also cover products which are offered by businesses. In our case, the contract did not contain
any warranty and had only condition which were mostly general in nature.
Part 4
As per the terms of the contract which is agreed by both the parties, in case of any
disputes which arises in the performance of the contract, the disputes would be settle by
mediation (Knapp, Crystal & Prince, 2016). In such a process, a neutral party is appointed who
would settle and act as a mediator for settling such disputes.
Part 5
The contract management practices allow to effectively manage the contracts of a
business and it allows management of a business to effectively manage different contracts from
vendor, partners, customers. Effective management of the contracts allows the management to
administer every speculation of the contract effectively. The liabilities which is related to a
contract can be managed effectively with the help of a proper management system.

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PROJECT MANAGEMENT AND LEGAL ASPECTS
Reference
Knapp, C. L., Crystal, N. M., & Prince, H. G. (2016). Problems in Contract Law: cases and
materials. Wolters Kluwer Law & Business.
McKendrick, E. (2014). Contract law: text, cases, and materials. Oxford University Press (UK).
Poole, J. (2016). Textbook on contract law. Oxford University Press.
Zlatkovic, M., & Porter, R. J. (2013). Lessons Learned-Pavement Marking Warranty
Contract (No. UT-13.16). Utah Department of Transportation, Research Division.