Business Law Essay Example for Free

Business Law EssayAn agreement must(prenominal) contain quadruplet essential ingredients to be regarded as a bid. These four elements are flip, acceptance, Intention of legal consequences, and consideration. If any single of them is missing, the agreement will not be legally binding. An offer is defined as the manifestation of the willingness to interpose into a bargain so made as to justify an other person in understanding that his assent to the bargain is invited and will conclude it. There must be a definite, clearly verbalize offer to do aroundthing. An offer does not include ball park estimates, requests for proposals, expressions of interest, or letters of intent. An offer will lapse when the time for acceptance expires, if the offer is withdrawn before it is accepted, or after a reasonable time in the circumstances (generally the greater the value of the focus, the longer the life of the offer). Only what is offered coffin nail be accepted. This means that the offer must be accepted exactly as offered without conditions. If any parvenu terms are suggested this is regarded as a counter offer which can be accepted or rejected.There can be many offers and counter offers before there is an agreement. It is not important who makes the final offer, it is the acceptance of that offer that brings the negotiations to an end by establishing the terms and conditions of the contract. Acceptance can be given verbally, in writing, or inferred by action which clearly indicates acceptance (performance of the contract). In any case, the acceptance must align to the method prescribed by the offerer for it to be effective. A contract requires that the parties intend to enter into a legally binding agreement.That is, the parties entering into the contract must intend to create legal dealings and must understand that the agreement can be enforced by law. The intention to create legal relations is presumed, so the contract doesnt have to expressly state t hat you understand and intend legal consequences to follow. If the parties to a contract decide not to be legally bound, this must be clearly stated in the contract for it not to be legally enforceable. In order for a contract to be binding it must be supported by valuable consideration. Consideration consists of either a benefit to the promisor or a detriment to the promisee.That is to say, one companionship promises to do something in return for a promise from the other party to provide a benefit of value (the consideration). Consideration is what each party gives to the other as the agreed price for the others promises. Usually the consideration is the payment of money but it need not be it can be anything of value including the promise not to do something, or to refrain from exercising some right. The payment doesnt need to be a fair payment. The courts will not intervene where one party has made a hard bargain unless fraud, duress or unconscionable conduct is involved.When the re is a breach of contract, an unexcused failure to perform, the other party is usually given restoration, rather than specific performance. The rules of damages vary, but are usually intended to make the injured party whole. A party who was mantic to be remunerative something for that partys performance regains the amount of the payment due, if the performance has been rendered. A party who was supposed to get something of value sometimes gets the difference between the price agreed and the market price. Or, if the party has already paid the paying party sometimes gets the money back.