Question

Examine the assertion that ‘All contracts are agreements but not all agreements are contracts, justifying your position with case law and examples

Answer 1

Aggrement = Promise or set of promises (offer + acceptance ) + consideration

if 7 year old boy is buyng ice cream fom ice cream shop and giving $2 in return, it becomes aggrement . This is because the boy offers to buy ice cream and vendor accepts the offer ehich make nit a promise. The consideration for the both was ice cream and money respectively . it is just an aggrement but not contratct. Becuase there is no legal enforceability. An aggrement becomes contract only when there is a legal enforceability.

For example if a person is buying a car ehich is just 3 years old and the owner lied about the yaer of manfacuring the car thereby commiting the fraud . fraud makes contract vidable. Therefor , the buyer is on discretion that he can either to buy the car or not , whwere as seller is bound by the promise made.

Aggrements + Leagal Enforceabilty = Contract

An Agggrement becomes contract on following grounds

*Competency of parties
*Free consent of parties
* Law full consideration and object
* Not expressly declared to be void