BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -The Contract Act defines the term ‘Contract’ under its section 2 (h) as ‘An agreement enforceable by law’. This definition has two key elements: agreement and enforceable by law. Agreement-An agreement is every promise or the set of promises that form the consideration for each other.

Detailed explanation-2: -(h) An agreement enforceable by law is a contract; (i) An agreement which is enforceable by law at the option of one or more of the parties thereto, but not at the option of the other or others, is a voidable contract; (j) A contract which ceases to be enforceable by law becomes void when it ceases to be enforceable.

Detailed explanation-3: -Contracts that include terms opposing state or federal law are automatically unenforceable. For example, if an employer forces an employee to sign a contract that prevents him or her from taking sick leave, it would be considered unenforceable.

Detailed explanation-4: -An oral contract is a contract, the terms of which have been agreed by spoken communication. This is in contrast to a written contract, where the contract is a written document.

Detailed explanation-5: -A “binding contract” is any agreement that’s legally enforceable. That means if you sign a binding contract and don’t fulfill your end of the bargain, the other party can take you to court.