A bilateral treaty is the kind of agreement that most people consider to be a traditional contract – a mutual exchange of promises between the parties. In a bilateral treaty, each party can be seen as both a promise-maker and a beneficiary of a promise. Agreements are often linked to contracts; However, „agreement” generally has a broader meaning than „contract”,” „negotiation” or „promise”. A contract is a form of agreement that requires additional elements, para. B example a counterparty. The court may order a „special service” requiring the performance of the contract. In certain circumstances, a court will order a party to fulfill its promise (a „specific performance order”) or issue an order called a „preliminary injunction” that a party will not do anything that would violate the contract. A certain service is available for the breach of a contract for the sale of land or real estate on the grounds that the property has a clear value. In the United States, the 13th Amendment to the U.S. Constitution legalizes the specific benefit in personal service contracts only „as punishment for a crime of which the criminal is outright convicted.” [144] In the event of contractual disputes, one party may accuse another party of failing to comply with the terms of the agreement. Under the law, a party`s failure to fulfill a term of the agreement under a contract is called a „breach of contract.” If a breach of contract occurs (or if a breach is alleged), one or both parties may want the contract to be „enforced” on its terms, or they may attempt to compensate for the financial damage caused by the alleged breach. An agreement between private parties that creates mutual obligations that are legally enforceable.

The basic elements necessary for the agreement to be a legally enforceable contract are: mutual consent, expressed through a valid offer and acceptance; taking due account of it; capacity; and legality. In some States, the consideration element may be filled in with a valid replacement. Possible legal remedies in the event of a breach of contract are general damages, consequential damages, damages of trust and special services. The prerequisites for a contract are consideration, offer and acceptance, legal purpose, competent parties and mutual consent. If any of the required elements are missing, defective or irregular, the contract may become void, voidable or unenforceable. Not all agreements are necessarily contractual, as the parties generally have to intend to be legally bound. A so-called gentlemen`s agreement is an agreement that is not legally enforceable and is supposed to be „only honorably binding.” [6] [7] [8] In criminal law, the offence of conspiracy requires an agreement to commit an unlawful act. An agreement in this context does not need to be explicit; on the contrary, a meeting of minds can be inferred from the facts and circumstances of the case. Different legal systems often promote comparable policies in very different ways. Several distinct patterns can be found in the approach of modern legal systems to the problems of whether a bidder is free to withdraw a bid before acceptance and when an acceptance is effective to conclude a contract.

Perhaps polar extremes are represented by German civil law on the one hand and Anglo-American customary law on the other. In the German view, an offer is binding on the bidder for a certain period of time or, if the offer is quiet in time, for a reasonable period of time, unless the supplier has expressly made the offer revocable. The common law rule is the opposite: an offer is revocable until it is accepted. The two systems also have very different rules regarding when acceptance takes effect when the parties enter into a written contract to conclude the contract. Under German law, acceptance takes effect when it reaches the tenderer, in the sense that the supplier knows or can read it. At common law, on the other hand, if the target recipient uses an appropriate means of communication, acceptance is effective with the sending, unless the supplier has claimed otherwise in the offer. (However, a revocation by the bidder will only take effect after it has been received by the target recipient.) The prerequisites for a contract are consideration, offer and acceptance, legal purpose, competent parties and mutual consent. 3 min read Courts will generally not weigh the „reasonableness” of the consideration if the consideration is classified as „sufficient”, with relevance defined as meeting the test of the law, while „reasonableness” is fairness or subjective equivalence. For example, the agreement to sell a car for a penny may constitute a binding contract[32] (however, if the transaction is an attempt to avoid taxes, it will be treated by the tax administration as if a market price had been paid). [33] The parties may do so for tax reasons and attempt to disguise donation transactions as contracts. This is called the pepper rule, but in some jurisdictions, the penny may be a legally inadequate nominal consideration.

An exception to the adequacy rule is money, with a debt for „agreement and satisfaction” always having to be paid in full. [34] [35] [36] [37] Finally, a modern concern that has arisen in contract law is the increasing use of a specific type of contract known as „liability contracts” or formal contracts. This type of contract may be advantageous to some parties because in one case, the strong party has the ability to impose the terms of the contract on a weaker party. Examples include mortgage contracts, leases, online purchase or registration contracts, etc. In some cases, the courts view these membership contracts with particular scrutiny because of the possibility of unequal bargaining power, injustice and lack of scruples. How to explain these differences in the rules of offer and acceptance? In particular, do they reflect fundamental political differences or simply different techniques that are supposed to pursue very similar objectives? An examination of a typical problem that arises when the parties enter into a contract by correspondence suggests the latter explanation. After receiving an offer, the targeted persons often change their position, for example by rejecting or ignoring other offers, not obtaining additional offers or even making proposals based on the offer submitted to them. For this reason, the legal system sees the need to provide offers with a secure starting point for their decision, in order to protect them and facilitate trade in general. The German system offers this protection by making the offer fundamentally irrevocable.

The common law, on the other hand, found this solution precluded by its doctrine of consideration; Since the target recipient does not object to the irrevocability of the offer, there is no consideration in support of an obligation not to withdraw. (On the other hand, the Uniform Commercial Code, adopted throughout the United States, provides that a firm offer from one dealer is irrevocable, even if the other party has ignored it.) Customary law is not entirely insensitive to the predicament of the target recipient. The rule that acceptance takes effect with the shipment creates a situation in which the bidder who wishes to withdraw a bid does not know whether it can be revoked or not, since the revocation takes effect only after receipt, while the acceptance of the target recipient, if any, takes effect with the shipment. This uncertainty makes the consequences of an attempted revocation unpredictable and therefore prevents a supplier from otherwise requesting the revocation. In summary, it can be said that the German and Anglo-American systems try to achieve a fair balance between the supplier and the target recipient and to achieve it successfully to some extent. Jurisdictions differ in the use of the term „agreement” in the designation of a legally enforceable contract. For example, the Washington Supreme Court has concluded that a treaty is a promise or set of promises protected by law, while an agreement is a manifestation of mutual consent that does not necessarily have legal implications. However, in Pennsylvania, an agreement has been defined as an enforceable contract in which the parties intend to enter into a binding agreement. However, the essential conditions of the agreement must be sufficiently secure to serve as a basis for determining the existence of a breach. Some arbitration clauses are unenforceable and, in other cases, arbitration may not be sufficient to resolve a dispute. For example, disputes relating to the validity of registered intellectual property rights may need to be resolved by a public body under the national registration system.

[123] In matters of significant public interest that go beyond the narrow interests of the parties, such as. B allegations that a party has breached a contract or committed violations of civil rights through unlawful anti-competitive conduct, a court may conclude that the parties can assert all or part of their claims even before the conclusion of a contractually agreed arbitration. [124] (1) According to the advantage-disadvantage theory, a reasonable consideration exists only if a promise is made in favour of the promisor or to the detriment of the prometitator, which reasonably and fairly causes the promisor to make a promise for something else for the promisor. .