Management and Organizational Studies 2275A/B Chapter Notes - Chapter 5: Forego, Business Game

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: Philip King

Document Summary

Once a contract is created, permits both parties to rely on the terms negotiated and plan their business affairs accordingly. Contract law ensures that each party gets what it bargained for. For the most part, the rules governing contracts are based on common law: judge-made laws, as opposed to laws made by elected governments. Contract law is facilitative: it allows participants to create their own rights and duties within a framework of rules that a judge will later enforce. Legal factors in their business context: creating the contract. Carr thinks this doesn"t reflect the morality of the bluffer. Influences type of contract made: kind of contract created depends on bargaining power rarely have equal bargaining power, greater = more favourable terms, is the business reality. Legal factors in their business context: performing or enforcing the contract. Big picture contracts aren"t usually black and white problems arise grey area.