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This is considered legally good
-all elements are recognized by the courts
-legally binding
Ex. You sign a contract to buy a blue horse and you receive a blue horse.

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-without legal effect
-contracts missing one or more elements
Ex. A contract between an illegal drug supplier and a drug dealer.

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-not void by itself, but one or more parties can get out for some legal reason
Ex. A contract was made with a minor.

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A contract that a court will not uphold
-this is due to some rule of law
Ex. The Statutes of Limitations has expired

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A contract stated in words
-may be written or oral
Ex. A man sells newspapers on the street corner and a women gladly accepts to pay for one.

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A contract that comes about from the actions of the party.
Ex. Buying a hotdog at a baseball game

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Contains 2 promises, 1 by each person.
-most contracts are this
Ex. When you buy a car you agree to pay a certain price in exchange for the car.

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Contains a promise by one person to do something if, and when, the other party performs a certain act
-oral or written
-silence is not a form of acceptance
Ex. This is any insurance contract.

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Created by 2 or more people speaking to each other
Ex. Contractor comes to your house saying it will take $5,000 to remodel your bathroom and you both agree on the deal.

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Contract terms are written so that both parties know the exact terms
-provides proof of existence for the contract
-certain contracts are required by Statute of Frauds to be in writing
Ex. When you make a promise to pay someone's credit card, it has to be written.