principles of contract law

Contract law governs agreements between parties, ensuring promises are legally binding and enforceable. Key principles include mutual assent (both agree to terms), consideration (something of value exchanged), capacity (parties are competent to contract), and legality (the agreement must be lawful). Contracts can be written or oral, but certain types require formal written agreements. If one party breaches the contract—fails to fulfill their obligations—the other may seek legal remedies such as damages or specific performance. Overall, contract law provides a framework to fairness and reliability in dealings, promoting trust and clarity in agreements.