Contract Law Key Terms

Contract Law Key Terms

1. Accepteance

   • When the offeree accepts the offer.
   • Bilateral
     • Two promises.
     • Benefits
       • something the party wasn't expected to recieve
       • Detriments
         • any loss or dealing with giving up
   • Mutual Mistake
     • both parties are mistaken about an important fact
     • Offer
       • proposal of one party to another to create a legal binding agreement
       • Price fixing
         • when a competitor agrees to a certain price range to sell their products

2. Capacity

   • Ability to enter a contract.
   • Consideration
     • trading of benefits and detriment by the party to come to an agreement.
     • Counteroffer
       • any changes in the offer.
       • Death
         • the offeror dies.
     • Oral
       • created by two or more people talking to one anoter
       • Rejection
         • refusal by the offeree
   • Restrictive covenant
     • agreement not to compete in a region for a certain time

3. Duress

   • overcoming a persons free will by the use of any type of force
   • Economic Duress
     • a threat to a persons income or busisness
     • Emancipation
       • the serving of a parent-child relationship
       • Firm offer
         • a written offer that states when a offer will stay open
         • Forbearance
           • not doing something you have the right to do
     • Past Performance
       • something that has already happened and cant be considered in a contract
   • Express
     • a contract statement thats written or oral
   • Fraudulent Misrepresentation
     • a party to a contract that makes an untrue statement
     • Offeree
       • who the offer is made to
   • Genuine agreement (assent)
     • a valid offeror that a offeree accepts

4. Illusory promises

   • a clause or warning that allows the party to escape from legal obligation
   • Implied
     • a contract that is made by the actions of a party
     • Insanity
       • when the offeror is declared insane
       • Legality
         • illegal contracts
         • Mentally Incapaitated
           • lacking the understanding of of consequences of his or her own contractual actions.
         • Offeror
           • one who makes the offer
           • Option
             • the offeree gives something in value to promise to keep the offer open for a certain period of time
       • Mirror image rule
         • where the terms of acceptance and offer match