Contract

The notion of contract, under the contract law, included into the more general obligations law. Contract can be understood as a premise, requiring enforcing mechanisms. These mechanisms are usually enabled by the state (or some other authority) and make use of the legal system. So-called informal economies are economies in regions where the state is weak. In common law jurisdictions, the formation of a contract generally requires an offer, acceptance, consideration, and mutual intent to be bound. A contract cannot be formed without assent (also called a meeting of the minds) of the two parties to be bound by its terms. Normally this is by written signature (which may include an electronic signature), but the assent may also be oral or by conduct. Assent may be given by an agent for a party. Contracts may be bilateral or unilateral. A bilateral contract is an agreement in which each of the parties to the contract makes a promise or set of promises to each other. Less common are unilateral contracts, in which one party makes a promise, but the other side does not promise anything (ex. Custodian agreement in the OVN model). In these cases, those accepting the offer are not required to communicate their acceptance to the offeror. Note that the High Court of Australia stated that the term unilateral contract is "unscientific and misleading". In certain circumstances, an implied contract may be created. A contract is implied in fact if the circumstances imply that parties have reached an agreement even though they have not done so expressly. Also to consider:

• Offer, acceptance, and invitation to treat
• Consideration
• Conditions, warranties, and representations
• Capacity
• Remedies

See also

Smart contract