What is the correct definition of contract?

What is the correct definition of contract?

Contract, in the simplest definition, a promise enforceable by law. The promise may be to do something or to refrain from doing something. The making of a contract requires the mutual assent of two or more persons, one of them ordinarily making an offer and another accepting.

What is a contract simple definition?

Definition. An agreement between private parties creating mutual obligations enforceable by law. The basic elements required for the agreement to be a legally enforceable contract are: mutual assent, expressed by a valid offer and acceptance; adequate consideration; capacity; and legality.

What is a contract Oxford dictionary?

noun. 1A written or spoken agreement, especially one concerning employment, sales, or tenancy, that is intended to be enforceable by law. 'he has just signed a contract keeping him with the club'

What is the literal meaning of the word contract?

: an obligation fully evidenced by writing and binding upon the party signing and promising therein.

Who Defined contract?

The Indian Contract Act, 1872 defines the term “Contract” under its section 2 (h) as “An agreement enforceable by law”. In other words, we can say that a contract is anything that is an agreement and enforceable by the law of the land.

How do you contract a word?

Contracted words, also known as contractions (the term used in the 2014 revised national curriculum) are short words made by putting two words together. Letters are omitted in the contraction and replaced by an apostrophe. The apostrophe shows where the letters would be if the words were written in full.

What are the types of contract?

On the basis of validity or enforceability, we have five different types of contracts as given below.
  • Valid Contracts. ...
  • Void Contract Or Agreement. ...
  • Voidable Contract. ...
  • Illegal Contract. ...
  • Unenforceable Contracts.

What are the key elements of a contract?

6 Essential Elements of a Contract
  • Offer.
  • Acceptance.
  • Awareness.
  • Consideration.
  • Capacity.
  • Legality.

What are the 3 types of contracts in law?

Types of Contracts On The Basis Of Validity
  • Valid Contracts. The Valid Contract as discussed in the topic on “Essentials of a Contract” is an agreement that is legally binding and enforceable. ...
  • Void Contract Or Agreement. ...
  • Voidable Contract. ...
  • Illegal Contract. ...
  • Unenforceable Contracts.

What are the characteristics of a valid contract?

Characteristic of a valid contract
  • There must be an offer;
  • There must be acceptance of the offer;
  • There must be consideration;
  • Intention to create legal relations between the parties;
  • The parties must have contractual capacity;
  • The contract must not be unlawful or contrary to public policy;

What 3 things make a contract valid?

A: In order to have a valid and binding legal contract, three elements are required: an offer, acceptance of that offer and consideration. Usually, the earnest money deposit will satisfy the third requirement, but consideration can also be where the seller takes the property off the market in reliance on the contract.

What are the two types of contracts?

Two different kinds of groups of contracts are fixed price contracts and cost-reimbursement contracts. Different types of contracts, which are contained within each of these two types of groups, may be used separately or in combination with one another.