ADMS 3420 Chapter 7: Chapter 7- The Requirements of an Employment Contract

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A contract is an agreement formed between two (or more) parties that contains 3. Capacity to enter into a contract elements: an offer, an acceptance, mutual consideration. In the case of children under the age of 18 (called infants or minors in legal terminology), the courts begin with the assumption that the contract is void. Contracts involving employees with a mental impairment are treated as voidable contracts. Voidable contract: a contract that may be declared void at the option of one of the parties due to a deficiency. An example is an employment contract involving an employee who is considered mentally impaired. In assessing whether there was an intention to create a legal contract, judges ask whether. A reasonable person would assume that the intention existed, considering all of the facts. In the case of an employment contract, the first two requirements of offer and acceptance are usually satisfied without much controversy.

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