Question

A contract is a set of legally enforceable promises. A valid contract must have agreement/ offer consideration, legal object/purpose, and parties with legal capacity.

Sometimes two parties will enter into a contract with the intent to benefit a third party. In these situations, a third-party beneficiary contract is formed. Third-party contracts are difficult to follow with the rights and obligations of the parties.

You are required to create a contract (keep it simple-one page). You will select the subject of the contract.

What would the contract look like? How would you design it? What would you want to be included? What legally be included?

Below is a simple example of the format of a contract. Do not copy the contract! Instead create your own, but make sure to include the most important elements shown below.

CONTRACT FOR THE SALE OF GOODS

Paragraph 1. _______________________, hereinafter referred to as Seller, and _____________________, hereinafter referred to as Buyer, hereby agree on this ____ day of _______________, in the year ____________, to the following terms.

Identities of the Parties

Paragraph 2. Seller, whose business address is _____________________, in the city of _______________, state of _________________________, is in the business of ___________________________. Buyer, whose business address is ____________________, in the city of _________________, state of _________________________, is in the business of ____________________________.

Description of the Goods

Paragraph 3. Seller agrees to transfer and deliver to Buyer, on or before ________________________ [date], the below-described goods:

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

Buyer's Rights and Obligations

Paragraph 4. Buyer agrees to accept the goods and pay for them according to the terms further set out below.

Paragraph 5. Buyer agrees to pay for the goods:

• In full upon receipt
• In installments, as billed by Seller, and subject to the separate installment sale contract of __________________ [date] between Seller and Buyer.
• Half upon receipt, with the remainder due within 30 days of delivery.

Paragraph 6. Goods are deemed received by Buyer upon delivery to Buyer's address as set forth above.

Paragraph 7. Buyer has the right to examine the goods upon receipt and has ____ days in which to notify seller of any claim for damages based on the condition, grade, quality or quality of the goods. Such notice must specify in detail the particulars of the claim. Failure to provide such notice within the requisite time period constitutes irrevocable acceptance of the goods.

Seller's Obligations

Paragraph 8. Until received by Buyer, all risk of loss to the above-described goods is borne by Seller.

Paragraph 9. Seller warrants that the goods are free from any and all security interests, liens, and encumbrances.

Attestation

Paragraph 10. Agreed to this _____ day of _____, in the year ____________.

By: ___________________________ Official Title: ____________________________

On behalf of ______________________________________, Seller

I certify that I am authorized to act and sign on behalf of Seller and that Seller is bound by my actions. ______ [initial]

By: ___________________________ Official Title: ____________________________

On behalf of _____________________________________, Buyer

I certify that I am authorized to act and sign on behalf of Buyer and that Buyer is bound by my actions. ______ [initial]

[NOTARY STAMP HERE]

Answer 1

A contract can be defines as a document that legally binds parties into the agreement. A contract recognizes and governs the rights and duties of the parties. Sample contract that I have created is as follows:

Event Planning Contract

Mr James Decosta, hereinafter referred to as Event Planner, and Ms Suzana Garg, hereinafter referred to as Client, hereby agree on 27^th day of July, in the year 2020, to the following terms as an agreement of distribution of services and compensation in the planning of Ms Suzana’s wedding event , which will be held on September 27, 2020.

Identities of the Parties

Event Planner, Mr James Decosta whose business address is Happy Event Management, 160 Lafayette St, New York, NY 10001, United States, is in the business of planning and managing events.

Client, Ms Suzana Garg, whose postal address is Ms Suzana Garg, 50 W 24^th St, New York, NY 10011, United States who works in Financial District is hiring Happy Event Management for planning the event of wedding which will be held on September 27, 2020.

Scope of Services

The Event Planner will be responsible for the planning of the event. Event Planner ‘s areas of responsibility will include creating appropriate format for invitations, making proper reservations, ensuring that necessary space for the event is reserved well in advance, and handling on-site logistics.

Clients Rights and Obligations

Client agrees to accept the services and pay for them according to the terms further set out below.

The Client agrees to pay a total of $5000 to the Event Planner as compensation for the Event Planner’s services. A non-refundable deposit of 25% will be made as an initial deposit and is due on the date that this contract goes into effect.

The remaining balance of 75% shall be paid well before 7 days of the final event. In case the client fails to pay the balance within the mentation period of time, an interest of extra 10% of the remaining balance shall be charged for every week the balance is past due.

The Event Planner Obligations

Event Planner is obliged to compile a list of preferred vendors and review that list with the Client. The list must include caterers, rental agencies, musicians, photographers, Videographers, chefs, hotels, and wedding halls. Any deviation from list must be announced to the Client prior to the final approval.

Cancellation

In the event of a cancellation of the Event, the Client should notify the Event Planner no later than fifteen (15) days prior to the planned date. Should the Event be cancelled after that deadline, Event Planner will be eligible to collect the full fee owed.

Agreed to this July 27, 2020

By: Mr James Decosta Official Title: Event Planner

On behalf of Happy Event Management

I certify that I am authorized to act and sign on behalf of Happy Event Management and that Happy Event Management is bound by my actions. J. Decosta

By Ms Suzana Garg

I certify that I am authorized to act and sign on behalf of Client and that I am bound by my actions. S. Garg