| If you are entering into any sort of agreement | | | | requires one or both parties to commit an illegal |
| with an individual, and money, products, or | | | | action. If you hire a hit man, have him sign a |
| services are changing hands, it is a good idea for | | | | contract or enter a verbal agreement, and he fails |
| you to write a contract. A legal contract will | | | | to perform the murderous task you specified, |
| protect you both, by outlining your obligations. If | | | | you cannot take him to court for breach of |
| anything goes wrong, you will have something | | | | contract. You also cannot have a valid contract |
| that you can take to court to help you receive | | | | where the compensation is an illegal item, such as |
| adequate compensation. Receiving what you | | | | drugs or stolen merchandise. For the contract to |
| deserve is much easier if you have a contract. | | | | be valid, both parties must receive some sort of |
| However, not all contracts written by two parties | | | | compensation. There cannot be a valid contract |
| are legally binding. In order to have a legally binding | | | | wherein only one person receives money or |
| contract, you need three basic elements to be | | | | services. The compensation must be reasonably |
| present in the document. You need competent | | | | equitable as well, in order for the contract to be |
| parties, compensation, and a meeting of the | | | | upheld in a court of law. |
| minds in order to have a legally binding contract. | | | | The third major aspect of a contract is a meeting |
| The first key element to the creation of a | | | | of the minds. Both parties must fully understand |
| contract is that both parties must be of sound | | | | the agreement. One way to ensure that a true |
| mind, and they must be legally able to enter into a | | | | meeting of the minds has been accomplished is to |
| contract. Minors cannot enter into most contracts | | | | put as many details as possible into the contract. |
| without parental consent. However, minors can | | | | For example, if you are trying to sell a car, |
| independently enter into contractual agreements | | | | describe it in minute detail. This will prevent your |
| for basic necessities, such as food, clothing, and | | | | buyer from protesting that they thought they |
| shelter. Minors can also sign contracts for student | | | | were buying a car in a different color or with |
| loans. Individuals under the influence of drugs or | | | | fewer miles. Details will help strengthen your |
| alcohol cannot enter a contract. Also, individuals | | | | contractual agreement. |
| who suffer from a mental illness that prevents | | | | Contract law is a complicated and complex legal |
| them from making rational decisions cannot enter | | | | area. Legal scholars spend years studying its |
| a legally binding contract. | | | | intricacies. Although these are three of the basic |
| The second major aspect of a contract is | | | | elements of a legally binding contract, other |
| compensation. Compensation refers to both the | | | | factors can come into play. If you have any legal |
| payment made and the service or product | | | | questions about your contract, consult a lawyer. |
| received. You cannot have a binding contract that | | | | |