A contract is always at the core of any legitimate commercial transaction you enter into with your customer, supplier or any other third party as an entrepreneur. This agreement can provide you with legal protection in the event the person or party with who you are doing business with refuses to honor the arrangement. However, it need to have certain essential elements before any court of law in the country can consider the deal to valid and legally binding.
Daniel DeKoter Attorney – What constitutes a valid business contract?
Daniel DeKoter is a prominent personal injury and business attorney from Sibley, Iowa. He and his team of skilled and professional experts are well known when it comes to business law, insurance and personal injury cases in the region. The Daniel DeKoter Attorney team says that when it comes to legal cases, they are dedicated towards their clients.
He says all valid contracts you enter into with other parties in the course of conducting business activities must have the following essential elements:
Most people eligible to be a party to a business contract except for certain individuals. These include minors, individuals who the courts accuse of carry out criminal offenses and those who have an unsound mind. The parties entering into this legally enforceable agreement must provide some form of identification like their names, addresses or any other suitable title.
The parties entering into a valid business contract must give their free and mutual consent to carry out or promise to perform a particularact. You need to remember that the law can never consider your consent to be free under certain conditions. If the party you are doing business with obtain your consent under fraudulent means, undue influence, duress,mistake or menace, you have a legal right to cancel it.
In legal terms, the act the parties to a contract perform or promise to perform refers to the object. It needs to be lawful, possible for either of the parties to accomplish and definite. The courts can never recognize a contract as enforceable where the parties to the agreement carry out an unlawful or illegal act.
A business contract is never enforceable under the eyes of the law unless it has a consideration. This means one of the parties to this agreement gains something valuable in monetary terms after carrying out its obligation. Moreover, the other party must also be willing to provide it. For instance, when an automobile dealer enters into a contract to sell a car to a buyer, the buyer gets the vehicle when he/she pays the purchase price to the seller.
The Daniel DeKoter Attorney team says in the real world you enter into a commercial transaction with another individual withsincere intentions. A valid business contract can offer you legal protection in the event of any unfortunate dispute. This is the reason why it is always prudent on your part tohire a proficient attorney to look into the essential aspects to legally binding agreement you are writing up. It could go a long way in saving your precious time, maintain cordial relations with business partner and money.