contract阅读文章文档格式.docx
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contract阅读文章文档格式.docx
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by"
competentpersons"
havinglegalcapacitywhoexchange"
consideration"
tocreate"
mutualityofobligation."
Proofofsomeoralloftheseelementsmaybedoneinwriting,thoughcontractsmaybemadeentirelyorallyorbyconduct.Theremedyforbreachofcontractcanbe"
damages"
intheformofcompensationofmoneyorspecificperformanceenforcedthroughaninjunction.Bothoftheseremediesawardthepartyatlossthe"
benefitofthebargain"
orexpectationdamages,whicharegreaterthanmerereliancedamages,asinpromissoryestoppel.Thepartiesmaybenaturalpersonsorjuristicpersons.Acontractisalegallyenforceablepromiseorundertakingthatsomethingwillorwillnotoccur.Thewordpromisecanbeusedasalegalsynonymforcontract,althoughcareisrequiredasapromisemaynothavethefullstandingofacontract,aswhenitisanagreementwithoutconsideration.
Contractlawvariesgreatlyfromonejurisdictiontoanother,includingdifferencesincommonlawcomparedtocivillaw,theimpactofreceivedlaw,particularlyfromEnglandincommonlawcountries,andoflawcodifiedinregionallegislation.RegardingAustralianContractLawforexample,thereare40relevantactswhichimpactontheinterpretationofcontractattheCommonwealth(Federal/national)level,andanadditional26actsatthelevelofthestateofNSW.Inadditionthereareseveralinternationalinstrumentsorconventionswhichareapplicableforinternationaldealings,suchastheUnitedNationsConventiononContractsfortheInternationalSaleofGoods.
History
ContractlawisbasedontheprincipleexpressedintheLatinphrasepactasuntservanda,whichisusuallytranslated"
agreementsmustbekept"
butmoreliterallymeans"
pactsmustbekept"
.Contractlawcanbeclassified,asishabitualincivillawsystems,aspartofagenerallawofobligations,alongwithtort,unjustenrichment,andrestitution.Thecommonlawofcontractoriginatedwiththewritofassumpsit,whichwasoriginallyatortactionbasedonreliance.
Jurisdictionsvaryintheirprinciplesoffreedomofcontract.IncommonlawjurisdictionssuchasEnglandandWalesandtheUnitedStates,ahighdegreeoffreedomisexpected.Forexample,inAmericanlaw,itwasdeterminedinthe1901caseofHurleyv.Eddingfieldthataphysicianwaspermittedtodenytreatmenttoapatientdespitethelackofotheravailablemedicalassistanceandthepatient'
ssubsequentdeath.Thisisincontrasttothecivillaw,whichtypicallyappliescertainoverarchingprinciplestodisputesarisingoutofcontract,asintheFrenchCivilCode.OtherlegalsystemssuchasIslamiclaw,socialistlegalsystems,andcustomarylawhavetheirownvariations.
However,inthecaseoftheUnitedStatestheprincipleoffreedomofcontracthaserodedovertimeduetojudicialdeferencetolegislationaffectingcontracts.Forexample,theCivilRightsActof1964restrictedprivateracialdiscriminationagainstAfrican-Americans.Intheearly20thcenturytheUnitedStatesunderwentthe"
Lochnerera"
inwhichtheSupremeCourtoftheUnitedStatesstruckdowneconomicregulationsonthebasisoffreedomofcontractandtheDueProcessClause;
thesedecisionswereeventuallyoverturnedandtheSupremeCourtestablishedadeferencetolegislativestatutesandregulationswhichrestrictfreedomofcontract.TheU.S.ConstitutioncontainsaContractClause,butthishasbeeninterpretedasonlyrestrictingtheretroactiveimpairmentofcontracts.
Notallagreementsarenecessarilycontractual,asthepartiesgenerallymusthaveanintentiontobelegallybound(orthefunctionalequivalentundertheobjectivetheoryofcontracts).InAmericanEnglish,agentlemen'
sagreementisonewhichisnotintendedtobelegallyenforceable;
theequivalentconceptcanbeexpressedanagreement"
bindinginhonoronly."
Commercialuse
Contractsarewidelyusedincommerciallaw,andformthelegalfoundationfortransactionsacrosstheworld.Commonexamplesincludeconstructioncontracts,productpurchases(withassociatedwarrantiesofquality),softwarelicenses,employmentcontracts,insurancepolicies,realestatedeedstotransfertitle,professionalservices,wholesalemerchandisesupply,andvariousotheruses.
Onlinecontractshavebecomecommon.E-signaturelawshavemadetheelectroniccontractandsignatureaslegallyvalidasapapercontract.Ithasbeenestimatedthatroughly110electroniccontractsaresignedeverysecond.
Fromalegalpointofview,inIndia,E-contractsaregovernedbytheIndiancontractact(1872),accordingtowhichcertainconditionsneedtobefulfilledwhileformulatingavalidcontact.CertainsectionsininformationTechnologyAct(2000)alsoprovideforvalidityofonlinecontract.
Elements
Atcommonlaw,theelementsofacontractareoffer,acceptance,intentiontocreatelegalrelations,andconsideration.
Offerandacceptance
Inorderforacontracttobeformed,thepartiesmustreachmutualassent(alsocalledameetingoftheminds).Thisistypicallyreachedthroughofferandanacceptancewhichdoesnotvarytheoffer'
sterms,whichisknownasthe"
mirrorimagerule"
.Ifapurportedacceptancedoesvarythetermsofanoffer,itisnotanacceptancebutacounterofferand,therefore,simultaneouslyarejectionoftheoriginaloffer.TheUniformCommercialCodedisposesofthemirrorimagerulein§
2-207,althoughtheUCConlygovernstransactionsingoodsintheUSA.Asacourtcannotreadminds,theintentofthepartiesisinterpretedobjectivelyfromtheperspectiveofareasonableperson,asdeterminedintheearlyEnglishcaseofSmithvHughes[1871].Itisimportanttonotethatwhereanofferspecifiesaparticularmodeofacceptance,onlyanacceptancecommunicatedviathatmethodwillbevalid.
Contractsmaybebilateralorunilateral.Abilateralcontractisanagreementinwhicheachofthepartiestothecontractmakesapromiseorsetofpromisestoeachother.Forexample,inacontractforthesaleofahome,thebuyerpromisestopaytheseller$200,000inexchangefortheseller'
spromisetodelivertitletotheproperty.Thesecommoncontractstakeplaceinthedailyflowofcommercetransactions,andincaseswithsophisticatedorexpensivepromisesmayinvolveextensivenegotiationandvariousconditionprecedentrequirements,whicharerequirementsthatmustbemetforthecontracttobefulfilled.
Lesscommonareunilateralcontractsinwhichonepartymakesapromise,buttheothersidedoesnotpromiseanything.Inthesecases,thoseacceptingtheofferarenotrequiredtocommunicatetheiracceptancetotheofferor.Inarewardcontract,forexample,apersonwhohaslostadogcouldpromisearewardifthedogisfound,throughpublicationororally.Thepaymentcouldbeadditionallyconditionedonthedogbeingreturnedalive.Thosewholearnoftherewardarenotrequiredtosearchforthedog,butifsomeonefindsthedoganddeliversit,thepromisorisrequiredtopay.Inthesimilarcaseofadvertisementsofdealsorbargains,ageneralruleisthatthesearenotcontractualoffersbutmerelyan"
invitationtotreat"
(orbargain),buttheapplicabilityofthisruleisdisputedandcontainsvariousexceptions.TheHighCourtofAustraliastatedthatthetermunilateralcontractis"
unscientificandmisleading"
.
Incertaincircumstances,animpliedcontractmaybecreated.Acontractisimpliedinfactifthecircumstancesimplythatpartieshavereachedanagreementeventhoughtheyhavenotdonesoexpressly.Forexample,apatientmayimplicitlyenteracontractbyvisitingadoctorandbeingexamined;
ifthepatientrefusestopayafterbeingexamined,thepatienthasbreachedacontractimpliedinfact.Acontractwhichisimpliedinlawisalsocalledaquasi-contract,becauseitisnotinfactacontract;
rather,itisameansforthecourtstoremedysituationsinwhichonepartywouldbeunjustlyenrichedwereheorshenotrequiredtocompensatetheother.Quantummeruitclaimsareanexample.
Intentiontobelegallybound
Incommercialagreementsitispresumedthatpartiesintendtobelegallyboundunlessthepartiesexpresslystatetheoppositeasinaheadsofagreementdocument.Forexample,inRose&
FrankCovJRCrompton&
BrosLtdanagreementbetweentwobusinesspartieswasnotenforcedbecauseitcontainedan'
honourclause'
whichstatedthepartieswishthattheagreementnotbereviewedorenforcedbyacourt.
Incontrast,domesticandsocialagreementssuchasthosebetweenchildrenandparentsaretypicallyunenforceableonthebasisofpublicpolicy.Forexample,intheEnglishcaseBalfourv.Balfourahusbandagreedtogivehiswife£
30amonthwhilehewasawayfromhome,butthecourtrefusedtoenforcetheagreementwhenthehusbandstoppedpaying.Incontrast,inMerrittvMerrittthecourtenforcedanagreementbetweenanestrangedcouple.
Consideration
Considerationissomethingofvaluegivenbyapromissortoapromiseeinexchangeforsomethingofvaluegivenbyapromiseetoapromissor.Typically,thethingofvalueisapayment,althoughitmaybeanact,orforbearancetoact,whenoneisprivilegedtodoso,suchasanadultrefrainingfromsmoking.Thisthingofvalueorforbearancefromsomelegalrightisconsideredtobealegaldetriment.Intheexchangeoflegaldetriments,abargainiscreated.IntheUnitedStates,theemphasishasshiftedtotheprocessofbargainingasexemplifiedbyHamerv.Sidway(1
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