Continental Contract Theory

Continental Contract Theory is a legal framework used mainly in European law that focuses on the intentions and agreements made between parties through contracts. It emphasizes that contracts are based on mutual understanding and consent, assessing the terms and conduct of both parties to determine their obligations. This approach prioritizes the parties' actual intentions over formal titles or written words, promoting fairness and clarity in commercial dealings. Essentially, it treats contracts as shared agreements that should be interpreted based on the genuine intentions of those involved, fostering reliable and predictable legal relationships.