Supplying Gloria Smithson 's Company With Necessary Widgets

This is a clear expression of a party accepting agreement to the terms of the offer.

1. Competent parties. A court will not uphold a contract entered into by parties the law does not believe have the capacity to take on such a legal responsibility, such as minors or people who are mentally incapacitated.

Most people have the capacity to enter a valid contract, however, minors, people with mental disabilities, drunks, convicts, and elderly are not of capable mind to enter into such an agreement. Finally, the fourth element of legal object would be deemed to exist if the elements in the contract are not violating any legal state or federal statutes. The parties need to enter the contract under their free will and have full understanding of what each party is doing. Contracts may be voided by the legal system if they are harmful to society or are for unethical and illegal purposes. If the elements of a contract did exist between these parties, there could still be some possible reasons why a contract might not be valid based on facts not present in the scenario. For example, if Sam were a minor at the time he made the agreement with the chain store, the contract would not be valid because any contract entered with a minor, under the age of 18, can be voidable by law. I believe that a valid contract does not exist between Sam and the chain store. In the agreement Sam tells him he will deliver 1000 units of his invention, yet it does not state what he will get in

Contract is between two or more parties promises to form an agreement with specific terms do something in return for benefits and legally enforceable. The contract will create rights and obligations that may be enforced by the law. It required these elements: “Competent Parties, Proper Subject Matter, Consideration, Agreement, Clarity and Consent of the Parties.”

A legally binding contract is formed with the presence of four key elements. Namely these are offer, acceptance, consideration and an intention to create legal relations. Should one of these elements be missing the contract cannot be legally enforceable.

Acceptance either can be quantified or inferred by the offeree’s conduct; however, judgment must be objective. Forming a binding contract, requires relaying acceptance in a manner authorized, requested, or at least reasonably expected by the offeror (Acceptance, n.d.).

To make a valid offer there should be at least two parties so that it would be legally capable of entering into a contract.

For an offer to be valid, contracting parties in a commercial transaction must be having an intention of entering into an agreement that is legally binding. Therefore, both the offeror and the offeree must be ready to create a relationship that is legal in manner . This ensures that either parties can sue the other in case they do not adhere to provisions of the terms in the contract. If the parties are in a commercial relationship that is not legally binding, then that is not a contract. It may be subject to contract which means that the terms of the relationship will become legally binding once the parties sign the subsequent contract. When the interaction is subject to contract, either of the parties is free to exit the negotiations at

Agreement (contains the acceptance and offer): Offer and acceptance’s presence is a method of dissect procedural arrangement of choosing an agreement, whether it has been made

In the formation of contracts two elements are vital. Firstly, the "offer," an indication by one person prepared to contract with another,

In a contract to be valid an individual must make an offer, for an offer to be made there has to be at least Two parties present of even more for the contract to be legal, if the offer is accepted then the offer becomes legal and the contract can be validated, but first the offer must be fully understood clearly (Seaquist, 2012). An offer is made, if it is accepted then the contract is drawn up then the contract is created. An offer does not ply around with ball park figures,nor estimated for any proposal or interest or the intent ot do anything. An offer can lapse when the time

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.

For an offer to be satisfied, there are rules to be considered. The offer has to be complete, promissory, intention to undergo a contract when accepted, and focused on an individual or a group. In addition,

An offer should be definite and should be made under such circumstances that the person receiving the offer has reason to believe that the offeror is willing to deal on the terms indicated.

Acceptance must be absolute and unqualified, which means the promisee’s intention to accept must be clearly understood; it must also be accepted in some usual and reasonable manner, unless the proposal prescribes the manner in which it is to be accepted (S. 7(a)(b) CA 1950). Both offer and acceptance can be either expressed or implied. In general, acceptance cannot be withdrawn once it has been made.