Aspects of Contracts and Negligence in Business

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Aspects of contracts and negligence in business Task 1 and 2 Unit 5 Lecturer: Mrs. Eunice Wahito Done by: Kaunain Assaria Table of contents Validity of contacts………………………………………………………………………….3-4 Types of contacts………………………………………………………………………….....5-7 Elements of a contract……………………………………………………………………....7-10 Consideration……………………………………………………………………………….10-11 Warranties and conditions…………………………………………………………………12-14 Law of tort……………………………………………………………………………………..15 Fault principle………………………………………………………………………………16-17 Vicarious liability……………………………………………………………………………17-19 Negligence…………………………………………………………………………………...19-21 Recommendation………………………………………………………………………………22 For a contract to be valid it must have the following characteristics: 1. Offer…show more content…
Consideration may be some right, interest or benefit going to one party or some forbearance, detriment, loss or responsibility given, suffered or undertaken by the other party. So long as consideration exists, the court will not question its adequacy, provided that it is of some value. For example, the promise to pay a peppercorn in return for the lease of a house would be good consideration. Of course, the consideration must not be illegal or impossible to perform. There is an exception to the rule: documents under seal (deeds) do not require consideration for there to be a binding contract. However, since few contracts between people are made in this way, it is not discussed further in this chapter. 4. Legal capacity Not all people are completely free to enter into a valid contract. The contracts of the groups of people listed below involve problematic consent, and are dealt with separately, as follows: * people who have a mental impairment; * young people (minors); * bankrupts; * corporations (people acting on behalf of a company); and * prisoners Types of contacts 1. Written contracts A written contract generally refers to a written document outlining an agreement between two parties. The parties can be individuals, businesses, or organizations. All factors or portions in the agreement must be included in the agreement, and each party involved has to sign the document in order for it to be considered valid. In many
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