| A | B |
|---|
| Contract | legally binding agreement between 2 or more competent parties |
| Offeror | person who makes the offer |
| offeree | person who accepts the offer |
| Genuine Assent | an intent to commit a legal agreement |
| Capacity | ability to understand the terms of a contract |
| Consideration | Something of value given to bind a contract |
| Legality | Contracts must be legal |
| counteroffer | to end an offer by making another offer |
| unilateral contract | promise for an action |
| bilateral contract | promise for a promise |
| valid contract | has all essential elements |
| void contract | missing one or more essential elements |
| voidable contract | has all essential elements but can be backed out of by a party |
| unenforcable contract | has all essential elements, but due to a change in law cannot be carried out |
| express contract | clearly written or stated |
| implied contract | implied through actions |
| formal contract | written and sealed |
| firm offer | to hold an offer open for up to 3 months |
| option contract | to put $ down to keep an offer open |
| mirror image rule | acceptance must match the offer |
