Key terms to Contracts

Annotations:

• willingness by offeree to go with offer

1. Benefits

   Annotations:

   • something that a party wasn't entitled to receive 
   1. Bilateral

      Annotations:

      • two promises
      1. Capacity

         Annotations:

         • legal ability to enter into a contract
         1. Consideration

            Annotations:

            • exchange of benefits & detriments by the parties to an agreements
            1. Counteroffer

               Annotations:

               • any changes in the terms of the offer
               1. Death

                  Annotations:

                  • offeror died
                  1. Detriments

                     Annotations:

                     • any loss suffered
                     1. Durees

                        Annotations:

                        • overcoming a person's fee will by use of force or by threat of force or bodily harm
                        1. Economic Duress

                           Annotations:

                           • threats to a person's business or income
                           1. Emancipation

                              Annotations:

                              • serving of the parents-child relationship
                              1. Express

                                 Annotations:

                                 • contact statement that may be written or oral
                                 1. Firm Offer

                                    Annotations:

                                    • written offer for good that state the period of time during which the offer stays open 
                                    1. Forbearance

                                       Annotations:

                                       • not doing something that you have the right to do
                                       1. Fraudulent Misrepresentation

                                          Annotations:

                                          • party to a contact deliberately makes an untrue statement of face
                                          1. Genuine Agreement

                                             Annotations:

                                             • valid offer has been made by the offeror and a valid acceptance has been exercised by the offeree 
                                             1. Illusory Promises

                                                Annotations:

                                                • clause or wording that allows party to escape from a legal obligation
                                                1. Implied

                                                   Annotations:

                                                   • contract that comes from the actions of the parties
                                                   1. Insanity

                                                      Annotations:

                                                      • offeror is declared insane 
                                                      1. Legality

                                                         Annotations:

                                                         • illegal contracts
                                                         1. Mentally Incapacitated

                                                            Annotations:

                                                            • lacking the ability to understand consequences of contractual actions 
                                                            1. Mirror Image Rule

                                                               Annotations:

                                                               • terms of acceptance must match exactly the terms of the offer
                                                               1. Mutual Mistake

                                                                  Annotations:

                                                                  • both parties mistaken about an important fact
                                                                  1. Nominal Consideration

                                                                     Annotations:

                                                                     • token amount in a written contract where either the parties can't or do not wish to state the amount
                                                                     1. Offer

                                                                        Annotations:

                                                                        • proposal by 1 party to another with intent to create a legal binding agreement
                                                                        1. Offeree

                                                                           Annotations:

                                                                           • who the offer is made to
                                                                           1. Offeror

                                                                              Annotations:

                                                                              • makes the offer
                                                                              1. Option

                                                                                 Annotations:

                                                                                 • the offeree gives the offeror something of value in return for a promise to keep offer open for period of time
                                                                                 1. Oral

                                                                                    Annotations:

                                                                                    • created by 2 or more people speaking to each other
                                                                                    1. Past Performance

                                                                                       Annotations:

                                                                                       • act that has already been performed can't be consideration in a contract
                                                                                       1. Price Fixing

                                                                                          Annotations:

                                                                                          • competitors agree on certain price ranges within which they will sell their products
                                                                                          1. Rejection

                                                                                             Annotations:

                                                                                             • refusal by offeree
                                                                                             1. Restrictive Covenant

                                                                                                Annotations:

                                                                                                • agreement not to compete in a region for a period of time