Business and Consumer Law

The principle of law is that for a valid contract to be formed there must be an agreement reached by both parties.

Rule : : Contract formation requires mutual assent (offer and acceptance), consideration, and no viable defenses to contract formation.

Acceptance-This basically means that the terms of the offer have been clearly understood and agreed to through consent and assent and at no time will the terms be changed.

An offer is a precise assure and a precise demand. An offer is a look of readiness to perform something that is if followed by the unqualified acceptance of another being. It relates to my example because once agreement is made of how much amount I will pay because then I have to do that.

An offer allows the person or business to whom the offer is made to, to reasonably expect that the offering party is willing to be bound by the offer based on the terms proposed thus these terms of an offer must be define as well as certain.

A contract comes into existence with the initiation of an offer made by one party, which in turn should be ‘accepted’ by the other party. The element of offer and acceptance thus initiate the legal process of the formation of a valid and binding contract. The significance of acceptance with respect to the contract laws stems from the fact that the proposed offer must be accepted by the promisee and forthwith be communicated to the promisor. Together offer and acceptance create a promise which can

Contract comes into existence when both parties (offeror and offeree) have agreed terms in negotiations. The contract becomes binding when there is an agreement from both sides. It is not effective until there is communication.

An offer is a representation of willingness to contract on certain terms. Offer must be made with an intention and it will become binding upon acceptance. Some offers anticipate not another promise being returned in exchange, however, the performance of an act or forbearance from taking action. The person is making an offer is called the offeror, and the person to whom the offer is made. It called offeree. A communication will be treated as the offer if it stimuli the terms on which the offeror is prepared to make a contract such as the price of goods for sale, and it gives a clear indication that the offeror intends to be bound by those terms if they are accepted by the offeree.

The validity of contract is determined by the involved parties being in agreement to the terms of the contract. One of the parties submits the offer while the other accepts it within the stipulated period. The agreement concerning contracts should never be coerced since if procured by fraud or duress, it becomes void. Its enforceability may leave more questions than answers if it one sided. This is case where the terms are favors unreasonably one party in the contract (Helewitz

2. Determination of the party(ies) to whom the purported offer has been addressed (less like an offer with indefinite group).

An offer is an invitation or proposition to engage in business for mutual benefit. While no specific legal language is required to make the contract valid, the language that is presented must be specifically chosen to convey the intent of the proposal (Rogers, 2012). Second, there must be an acceptance. As Craig Smith says it, acceptance is a "manifestation of willingness to be bound by the terms of an offer" (Smith, 2015). Acceptance exists any time someone agrees to engage in business under the terms proposed. The third aspect is consideration. Consideration comes in many forms, but includes the exchange of mutual values (Rogers, 2012). The buyer provides consideration to contracts generally by exchanging money, what most sellers want from the transaction and the cornerstone of all business activity. The seller provides consideration in the form of goods or services that the buyer is willing to buy (Rogers, 2012). The next essential element of contracts is legality. To be recognized and enforceable, the elements and terms of the contract must be legal and cannot be based upon the performance of illegal activity (TFD, 2015). Finally, a valid agreement requires capacity. To enter a contract, one must be at least 18 years old, of sound mind, and competent to perform his or her duties, including an understanding of one's future obligations (TFD, 2015). While a preliminary version of mutual consideration has been discussed, no

Offer-An offer can be oral or written as long as it is not required to be written by law. It begins the contract. It is simply what is being offered to another for the return of that person's promise to act. It can’t be unclear and must be spelled out in terms that are specific and certain, such as the identity and nature of the object which is being offered and under what conditions and or terms it is offered. For example if you go to buy something from ATT there offer is giving you a phone and services for a certain price if you stay with them for at least 2 years or you pay early termination fees.

A contract is only legal when there is an Offer and consideration is made and it is accepted

An offer is a promise to act or renounce from acting which is made in exchange for a return promise to do the same. Some offers expect not another promise being returned promise to do the same , Some offers antedate not another promise being returned in exchange but the performance of an act or forbearance from taking action , for example a painters offer to paint someone’s house for $100 is probably conditioned on the homeowners promise to pay upon completion while a homeowners offer to someone $100 to have his or her house painted is probably conditioned upon the painters successfully performing the job , In either case an offerees power of acceptance is created when the offeror carries a present committed to enter a contract in certain and definite terms that are connected to the offeree.

Without offer and acceptance there can be no contract and so it is essential that the law provides rules to identify what constitutes both an offer and an acceptance. An offer may be defined as a statement of willingness to contract on specified terms made with the intention that, if accepted, it shall become a binding contract. An offer may be express or implied from conduct. In many cases it is crucial to determine when and where a contract is actually formed and this too needs rules. In the vast majority of contracts these rules do not prove difficult to explain or complicated to apply but in some areas there is confusion.