LAW ON CONTRACTS

There must be assent or a meeting of the minds on all the essential elements or terms to form a
binding contract,and in some jurisdictions ,the parties must also have a present intentb to be
bound by their agreement .Severance v. Knight -Counihan Co.,

The omission of a material element from a contract renders the contract unenforceable because
there has been no meeting of the minds .Neiss v. Franze
The presence of an ambiguous material term in a contract may indicate that no meeting of the
minds occurred.Also,a failure to agree on or even discuss an essential term of a contract may
indicate that mutual assent is lacking.Malone v. Saxony Co-op Apartments ,inc

The elements of a valid contract have been stated as following in law american Jurisprudence
vol 17 s.s.19: Parties competent to contract ,a proper or lawful subject matter ,consideration
,mutuality of agreement or assent ,and mutuality of obligation.OFFER,ACCEPTANCE and
CONSIDERATION.,parties capable of contracting ,consent or mutual assent of the parties ,a
lawful object and sufficient consideration.

An offer ,acceptance ,contractual capacity ,consideration ,a manifestation of mutual assent and

legality of the object and of the consideration.A meeting of the minds of the partied in mutual
assent to the terms sufficient consideration,free from fraud or undue influence not against pubic
policy and sufficiently definite to be enforced.

TO FORM A CONTRACT,IT IS NECESSARY THAT THERE BE A PARTY CAPABLE OF

CONTRACTING AND A PARTY CAPABLE OF CONTRACTING AND A PARTY CAPABLE OF
BEING CONTRACTED WITH.IN OTHER WORDS ,TO ENTER INTO A VALID <IEGAL
AGRREMENT THE PARTIES MUST HAVE THE CAPACITY TO DO SO.