Answer to Question #300320 in Management for JAck Patz

Question

Virat wants to draft a contract for his client where he will provide consultancy

services. Kindly help Virat with below queries:

i) What are the essential elements of contracts?

ii) Describe the events which make a contract, though executed or entered into, a voidable contract?

Answer 1

i) What are the essential elements of contracts?

1. Names of the parties
2. the objective of the agreement
3. a comprehensive statement of the obligations and rights of each party
4. what each party is offering in exchange for what they will be receiving
5. the start and end of the contract (term)
6. termination rights
7. liabilities of the parties
8. signatory section

ii) Describe the events which make a contract, though executed or entered into, a voidable contract?

1. When consenting into the agreement, any participant was under pressure, undue influence, or was being intimidated, pressured, or blackmailed then the contract is considered voidable.
2. If any of the party was mentally incompetent at the time the contract was signed
3. Finally, if there was a misunderstanding of the contract terms by one of the parties, or there was deception or misrepresentation of material facts.