Business and Consumer Law

17552 WordsNov 25, 201471 Pages
Business and Consumer Law Final Exam Notes Chapter 5: An Introduction to Contracts Contract Law: A deliberate and complete agreement between two or more competent persons in writing supported by mutual consideration, to perform an act. It is enforceable in court. Agreement: composed of an offer to enter into a contract and acceptance of the contract. Complete: the agreement must be certain. Deliberate: both parties must want to enter into a contractual relationship. Voluntary: The agreement must be freely chosen, and not manipulated. Between Two or more Competent persons: Parties that enter into the contract must have legal capacity – that is they can sue and be sued. Suppoted by mutual consideration: Each party must give something of…show more content…
renting a car) A fundamental rule is that a contract is formed only when a complete offer is unconditionally accepted by the other side -if the purported offer is sufficiently comprehensive that it can be accepted without further elaboration or clarification, it is an offer in law Offeror is the person who makes an offer and offeree is the person whom an offer is made to Termination of an Offer Revocation: the withdrawal of an offer An offer is only enforceable if some form of payment has been made for it Option agreement: agreement where, in exchange for payment, an offeror is obligated to keep an offer open for a specified time (often found in real estate developments) Lapse: The expiration of an offer after a specified or reasonable period Rejection: The refusal to accept an offer Counteroffer: the rejection of one offer and proposal of another Acceptance Acceptance: An
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