In: Economics
The two main components of agreement :
Once the proposal is negotiated, it is agreed between the two parties, it becomes an agreement.
An agreement is enforced legally between the two parties.
2) Zehmer's argument against the main contract was that as he was drunk and not in his senses, so the contract should be dismissed.
On the other hand,it is observed that the mental assent of the parties is not requisite for the formation of contract.
3) Three elements of a valid contractual offer :
Offer : One of the parties involved should offer something to the other party.
Acceptance : Other party should show its acceptance by accepting the offer given by the other party.
Consideration : There should also be some monetary element transfered between the parties which would influence the party to accept the offer.
4) 5 different ways an offer can be terminated :
Revocation of the offer by the offeror :Offeror will revoke the offer.
Rejection of the offer by the offeree : Offeree will reject the offer.
Counteroffer by offeree : Offeree will give a counter offer.
Lapse of time : Once a specified time lapsed,the offer can be terminated.
Death or disability of either offeror or the offeree : Offer can be terminated if the offeror or the offeree dies or become physically disabled.