There Are Four Elements to a Valid Contract

There are quatern elements to a legal contract. 1. At least two separate parties entering into an supportment The agreement toilet be between two people, or one person and a company or between two companies. 2. The parties are qualified to agree to the terms and conditions in the contract The parties must be of legal period and have an understanding of what the contract is and details it outlines. 3. Both parties are receiving experimental condition or value from the agreement This is most commonly money in exchange for a good or service, but there are other methods of consideration, especially in the business arena. . The contract is created for legal activities tackle are not binding or considered legally valid when they jut illegal activities or violate existing practice of laws in anyway. (What are the four elements of a contract, 2010). The Objective theory of contracts is a principle in U. S. law that the existence of a contract is determined by the legal significati on of the external acts of a party to purported agreement, rather than by the actual excogitation of the parties. (Objective theory of contract, 2010).This theory applies in this case because in this case it was verbalise they could win a Harrier-Jet if they collected the Pepsi points, but in actuality it was never their design to give one away. The Court held there wasnt a valid agreement here, because one party (Pepsi-co) made an agreement, but never write a contract with the other party (John D. R. Leonard). As expensive as that jet was, a commercial ad couldnt have real offered the consumers the jet. ( nonreversible Contract, 2010). Some advertisements are considered offers because if they advertise something and you have to pay for it that is money interchange for a good or service.This case differs, because Leonard fulfilled his end by coming up with the points, but didnt actually receive his pay upon the completed act.References Objective theory of contract Retrieved f rom, http//www. encyclopedia. com/doc/1G2-3437703138. html Unilateral contract Retrieved from, http//www. legal-dictionary. thefreedictionary. com/Unilateral+contract What are the Four Elements of a reasonable Contract? 123 Retrieved from, http//www. life123. com/career-money/business-law/contracts/what-are-the-four-elments -of-a-valid-contract. shtml