Verbal Agreement Vs Contract

A valid contract also presupposes security and completeness when it comes to the conditions on which the parties agree. In order to establish a valid contract, the parties must express themselves in such a way that their intended meaning can be determined with sufficient certainty. Generally speaking, courts consider potentially ambiguous or uncertain language based on the standard for reasonable persons, which requires the question of how a reasonable person would interpret the language. For example, if Bunny`s Tavern Darlenes Band commits every Saturday night for the next two years, the contract must be written to be valid, as it is not possible to enter into a two-year commitment in one year. The first element is that of an “offer”. An offer arises when one party proposes the terms of an agreement to another party. The terms of the offer must be sufficiently clear that a reasonable person can understand them and be expected to comply with it. If a person does not accept the conditions, but offers new or slightly different conditions, this is considered a “counter-offer”. It is not necessary to write any of these points. In some situations, an oral agreement is not necessary: the court may conclude a contract due to the conduct of the parties. Imagine, for example, frank promising his neighbor Nancy that he will give her his mower when he moves. If there is someone else, Nancy has no contract (and therefore no recourse) because she gave nothing in exchange for the promise to get the mower.

But if Nancy offered Frank $50 for a commitment to sell him the mower and Frank accepted the money, but gave the mower to someone else, Nancy could take action against Frank because he had broken his contract, even if it wasn`t written. Is an oral contract legal? Simply put, yes. From a legal point of view, oral contracts can often be as valid as written contracts. You can be extremely difficult to regulate, but you should take comfort in knowing that there are state and federal laws in place that can help enforce such treaties and protect your legal rights. . . .