MGSC30H3 Lecture Notes - Meeting Of The Minds, Electronic Document, Click Wrap
Document Summary
Contracts are enforceable when the parties have established all of the elements that make the contract. The requirements are referred to as the elements of a valid contract: an intention to create a legal relationship, offer, acceptance, consideration, capacity to contract, legality. Contracts must also be free from any vitiating elements, such as mistake, misrepresentation, or undue influence. Consensus ad idem: agreement as to the subject or object of the contract: parties must be of one mind and their promises must relation to that subject or object. For a valid contract, there must be intention on the part of the promisor to be bound by the promise made. Presuming that the party intended to be bound by the promise shifts the onus to prove otherwise. Only a promise made with the intention of creating a legal relationship may be enforced. A tentative promise made subject to a condition is not binding on the offering party until the proposal is accepted.
