Essential elements every agreement must have
A contract is an agreement that is enforceable by law as per the Indian Contract Act, 1872. If any essential element is missing, the contract may become invalid.
1.One party makes a clear offer. 2.Other party accepts without conditions. 3.Mutual understanding is essential.
1.Parties must intend the agreement to be legally enforceable. 2.Social agreements usually lack legal intention.
1.Something of value must be exchanged. 2.It must not be illegal or immoral.
1.Must be adult 2.Sound mind 3.Not disqualified by law
Consent must not be influenced by: * Coercion * Fraud * Undue influence * Misrepresentation
1.Purpose must be legal. 2.Illegal or immoral = void agreement
Terms must be clear Must be possible to perform
1.Offer & Acceptance 2.Intention 3.Consideration 4.Capacity 5.Free Consent 6.Lawful Object 7.Certainty 8.Not Void by Law