11Unit 6 Contracts2Definition An agreement between two or more parties enforceable in court.3Elements of a contract Competent parties Proper subject matter Offer Acceptance Consideration (detriment)24Competent parties Age Sound mind Exception for necessaries Void versus voidable contracts5Proper subject matter Not illegal Not (excessively) immoral6Meeting of the minds Offer must contain material terms– Newspaper ads - invitation to make an offer Acceptance must be unqualified– Qualified acceptance is a counteroffer• Terminates offer– Grudging acceptance37Consideration/Detriment Exchange of value Need not be money8Types of contracts Express bilateral– Promise for a promise Express unilateral– Promise for an act– Exception to advertising exception Implied (Quasi-contract)– Implied in fact (real contracts where assent is implied)– Implied by law• restitution to prevent unjust enrichment9Statute of frauds Some contracts must be in writing to be enforceable Current NC requirements Exceptions– Partial performance– Promissory estoppel410Parol evidence rule Written contract Prior or contemporaneous oral statements barred– Except to clarify ambiguous terms Subsequent oral statements admissible– Unless barred by an integration clause11Remedies Money damages Specific performance Negative injunction Rescission and restitution12Defenses Impossibility Impracticability Mistake513Stipulated (liquidated) damages No penalties Reasonably related to actual damages14Time Statute of limitations Laches
View Full Document
Unlocking...