Types of Contracts
Unilateral
A contract in which consideration( such as promise) is only given by one party to the other.
Implied
A contract that exist based not on words, but on the actions of behaviors of the parties
Enforceable
A contract that will stand up in court. must be expressed in writing and signed by both parties
Contract
an agreement between competent legal parties to do or refrain from doing some legal act in exchange for consideration.
Main Principle for contract interpretation:
discover intentions of both parties
Insertions to pre-printed (form) contracts:
must be initiated and dated if made after the contract was signed by the parties hand written insertions take precedence over typed insertions, and typed insertions take precedence over pre-printed material. handwriting in ink: use blue ink is easier to tell which is handwritten.
Bilateral
A mutual contract that involves an exchange of promises or other consideration between two parties
Executed Contract
a contract in which all terms have been fully completed
Executory Contract
a contract in which some of the terms have not yet been completed
Valid Contract
a contract that is binding and enforceable on all concerned parties because it contains all essential contract elements
Implied Contract
a contract that is inferred from the parties' actions
Voidable Contract
a contract that may or may not be enforceable between the parties, and usually means one party didi not meet a legal requirement of the agreement.
Unenforceable
a contract that will not hold up in court
Void Contract
a contract with no legal effect, even when all of the essential elements for a contract exists
Earnest Money
a deposit made to a seller showing the buyer's good faith in a transaction. - allows buyer time when seeking financing.
Parol evidence rule for contract:
a fully executed, valid written contract trumps all prior negotiation
Express
a stated (written or oral) agreement between two parties to specific terms.
Numbers written out prevail over numerals: T/F?
true
