What Are The Difference Between Contract And Agreement

This video will guide you on how to create a good commercial contract: at the beginning of this article a question is asked, the answer to which is here, that is, only legally enforceable agreements are concluded, which means that they must have a counterpart, a legal object, the parties freely their consent, they are contractually capable and the agreement is not declared null and void. If one of the above conditions is not met, the contract will no longer become a contract. Therefore, it can be said that not all agreements are contracts. To be precise, a legally enforceable agreement to do or not to do an action is called a contract. A contract must contain these elements: offer and acceptance, reasonable and unconditional consideration, free consent, capacity, legitimate purpose, security, intention to create legal obligations, and the contract must not be canceled. To reach an agreement, the parties only need to reach a common understanding of their relative rights and obligations, often referred to as a „meeting of chiefs“. The requirements for the conclusion of the contract are more precise and comparatively stricter. .


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