To be valid, a contract must normally contain all the following elements: acceptance by the bidder (the person who accepts an offer) is unconditional consent to all the terms of the offer. There must be a “meeting of minds” between the contracting parties. This means that both contracting parties understand the accepted offer. The hypothesis must be absolutely deviation-free, i.e. a hypothesis in the “reflection” of the offer. Acceptance must be communicated to the person making the offer. Silence is not acceptance. UNILATERAL VERSUS BILATERAL CONTRACTS: Most contracts are bilateral, that is, both parties agree and the four basic elements of a contract exist. For example, B offers to buy A`s Automobile at a certain price, and A accepts the offer and agrees to give car B after receiving these specific funds. Both parties agree with the contractual agreement. It`s bilateral. In a unilateral contract, a party makes an offer and promises if someone does something.
There is not necessarily an agreement between two people, as is the case in a bilateral treaty. However, an offer is made and if another person accepts and executes the offer, there is an enforceable contract. An example would be that A offers a $100 reward to the person who finds and makes A`s missing cat. If B finds the cat and returns it to A, A would be obliged to pay B the $100 reward. It is a unilateral treaty. The fourth necessary element of a valid contract is legality. The basic rule is that the courts do not impose an illegal case. Contracts can only be enforceable if they are concluded with the intention that they are legal and the parties intend to engage legally in their agreement.
An agreement between family members to go to dinner with a member is legal, but probably not with the intention of being a legally binding agreement. Just as a contract to purchase illicit drugs is made by a drug dealer with all parties, knowing that what they are doing is against the law and therefore not a contract that can be implemented in court. Gifts are very similar to contracts, but they are different. Gifts require an offer, acceptance and delivery of the gift, but are generally unenforceable. If A promises to give B a birthday present, but doesn`t, B can`t keep the promise.