Contract Law

The court substantiates the value of a breach thereby punishing the offending party depending on the specific breach. A contract has various components created systematically with the view to protecting the interests of both parties as the discussion below shows.

According to the contract law in the country, a contract consists of three specific elements. The three are an offer, acceptance and the competent person. An offer refers to the proposition by an individual who requires a particular service of a product. Such a person, known as the “offeror” approaches another who can undertake the duties with the offer. The “offeree” considers the terms of the request before deciding either to accept or to decline. As stated earlier, entry into a contract is normally voluntary (Bainbridge, 2012). The process of analyzing the content of the offer is known as consideration. Additionally, consideration refers to a valuable substance the two parties exchange in the transaction. Both parties must offer something of value such as money, servive or a product to validate the agreement.

The “offeree” considers the details of the offer and often engages the “offeror” in a revision exercise in order to make the terms friendly to both parties. Acceptance therefore refers to the admission by the “offeree” to undertake the tasks as proposed by the offer. This way, both the “offeror” and the “offeree” become legally bound to the contract and must therefore meet their obligations as stated in the contract. The two parties constitute the “competent persons” described above.

The three elements described above require effective evidence, which often occur in writing. However, two parties can enter a contract verbally by expressing their interests in working with each other. Intention is an equally important feature to consider especially in verbal agreements.

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