Contracts are essential to protecting your interests. People should not fear contracts. The key to a good contract is when it spells out the terms and conditions – an agreement – that two or more people can rely on to protect their rights and interests in any matter, and avoid future disputes.
Contrary to popular belief, a contract does NOT always need to be in writing to be enforceable. On the other hand, it is also true that not all written contracts CAN be enforced. Confused? Welcome to the world of contract law.
Basically, a contract is an agreement between one or more parties (people or businesses) whereby all parties agree to the terms of the agreement. Sounds simple enough, but as they say the “devil is in the details,” and it is here where most people find themselves in legal dispute over a contract.
At Lai & Turner Law Firm PLLC, we are your reliable Contract Lawyers in Oklahoma City. Our team is dedicated to providing comprehensive legal services that cater to your contract law needs. We understand the complexities of contract law and are committed to helping you navigate through them. Our team of Contract Attorneys in Oklahoma, OK brings years of experience in handling a wide range of contract cases. Whether you need assistance with drafting, reviewing, or negotiating contracts, we are equipped with the knowledge and skills to ensure your interests are well-protected.
To be clear, most written contracts are enforceable documents, and very few contracts can be challenged as unenforceable. Let us look at the critical elements that make a contract enforceable or unenforceable:
There must be an offer and an acceptance: This may seem straightforward, but it is important that there be a distinct “offer” by one party (“Will you sell me your car for $10,000?”), followed by an unequivocal acceptance (“yes”) by another party, after which the terms and conditions of the transaction can be written into a contract.
There must be mutual agreement or consent to the contract: BOTH (or ALL) parties must, by their own free will, “agree to” or “consent to” create a contract. “Free will” is an important word here because a person who is blackmailed, threatened, or coerced into signing a contract may later seek to invalidate a contract under those grounds. An invalidated contract is then unenforceable.
Absence of “limiting language”: A “Letter of Intent” is NOT a contract and is not enforceable if one of the parties decides not to follow through with the “intent.” The same would be true of an “offer” that has a deadline for “acceptance” or other limiting language that would make it unenforceable.
Capacity to contract: If a person is an adult and of sound mind, they can contract, all else being equal. Contract law presumes that a minor and anyone with impaired mental capabilities cannot enter into a contract.
There must be “valuable consideration”: “Consideration” is a fancy legal term that means “something of value.” For a contract to be enforceable, each party to the contract must receive something of “value” in the transaction. This can be money, other items of value, or goods and services, for example. If there is no valuable consideration, the contract is not enforceable.
Mutual assent: This is usually created by a simple preamble statement in the contract, such as, “The parties hereby agree to be bound by the following terms and conditions…”
The purpose of the contract must be legal: Any contract that involves a purpose that is illegal is not enforceable.
