Definition about contract

1. Contract is an agreement between two or more persons that represents their promise
to do or not to do a particular thing; where real property is concerned, a dated,
written, signed statement between two or more competent parties who agreeto
perform or not to perform a legal act, for legal consideration, within a specified time.
(The Dictionary of Real Estate Appraisal Third Edition, Appraisal Institute, 1980)
2. Negotiation is a process used to determine a mutually satisfactory contract sum, and
terms to be included in the contract for construction. In negotiations, the owner
directly selects the constructor and the two, often with assistance of the design
professional, derive by compromise and a meeting of the minds the scope of the
project and its cost. (The Dictionary of Real Estate Appraisal Third Edition,
Appraisal Institute, 1980)
3. Letter of intent is an instrument that expresses the intent to invest, buy, or lease,
conditioned on the receipt and approval of further documentation or the issuance of a
qualification permit. A letter of intent is not a binding agreement. (The Dictionary of
Real Estate Appraisal Third Edition, Appraisal Institute, 1980)