BL 260 Midterm: Business Law Test 2 Study Guide
Document Summary
Is designed to provide stability and predictability, as well as certainty, for both buyers and sellers in the marketplace: assures the parties to private agreements that the promises they make will be enforceable. Promisee: the person to whom the promise is made. Objective theory of contracts: what intent is determined by, not by the personal or subjective intent, or belief, of a party. In determining whether a contract has been formed, the element of intent is of prime importance: facts analyzed: What the party said when entering into the contract. How the party acted or appeared (intent may be manifested by conduct as well as by oral or written words). An agreement to form a contract includes an offer and an acceptance. One party must offer to enter into a legal agreement, and another party must accept the terms of the offer: consideration.
