Contracts – Answering your questions!

We regularly advise clients on contract disputes. The following are some of the key questions we are asked-

1. Do I have a contract?

There are a number of elements to a contract; namely:-

• An Offer
• An Acceptance
• Consideration – best described as one thing exchanged for another e.g. a sum of money in exchange for a service or goods
• An intention between the parties to create a legally binding relationship
• Certainty in the contract terms

2. Does a contract have to be in writing?

No, it can be in writing, agreed verbally or partly in writing and partly agreed verbally. It can even arise by implication from the conduct of both parties.

3. We are in negotiations, when is a contract formed and what constitutes an offer and an acceptance?

You will reach a contract stage when one party communicates an offer to another party, who then confirms that they accept the offer without any other condition.

Occasionally though a Court will consider the intention of the parties in their dealings in order to imply a contractual relationship.

4. I have a written contract but didn’t sign it – is it valid?

It depends.

Each matter will be different and be decided upon its own facts. Generally, when a contract has been written down and there is evidence to show that the parties intended to sign/execute a formal documented agreement, the courts will usually decide that the parties are not bound by the document unless signed by both parties. This will however depend upon circumstantial evidence surrounding the parties’ actions and their intent.

For further advice and assistance please contact our Private Client Team on 01604 828282 / 01908 660966 or email info@franklins-sols.co.uk