How to make your own Contracts: A brief introduction to Contract Law: DIY

I do not trust anyone. I am suspicious of my shadow, she keeps following me around. In the event that anyone asks me to assist them financially, I prepare a legally binding contract and I kindly ask them to sign it. The degree of consanguinity is irrelevant to me, I firmly intend to litigate for the return of my pennies. People do not understand how much I value my precious treasure, it is equivalent to cursing me when you ask me to part with it. A fool and her money are soon parted, and Mother raised no fool. Please allow me to explain the Law of Contract to you to empower you to create your own enforceable contracts.

What is a Contract?

A contract is an agreement between two or more parties that is intended to be legally binding.

What are the elements of a binding and enforceable contract?

Offer, acceptance, consideration and intention to create legal relations.

What is an offer?

An expression of willingness to enter into a contract on stated terms proposed by the offeror provided they are accepted by the party to whom the offer is addressed (the offeree).

What is an acceptance?

A final and unqualified acceptance of the terms of an offer. The person to whom the offer was made (offeree) must accept all the terms of the offer.

What is consideration?

When each party to the contract promises to do something for the other party.

What is intention to create legal relations?

The assumption by the Courts, that the parties to the contract intended to resolve any disputes arising from the contract in a Court of Law.

Why are contracts important in conducting my transactions?

  1. a) To have a valid, enforceable Agreement that will be able to stand up in a Court of law.
  2. b) To be able to protect yourself from the other party breaking his promises.

It is essential to prepare contracts in respect of the following transactions because valuable assets are involved:

  • Work to Own Vehicle Arrangements;
  • Money Lending Arrangements involving friends, families and strangers;
  • Real Estate transactions;
  • Home Improvement where contractors are involved;
  • Equipment Rentals.

What are some essential ingredients in a valid, enforceable contracts?

  • Stating the jurisdiction in the top left hand corner for instance “REPUBLIC OF TRINIDAD AND TOBAGO”.
  • The date of the Agreement;
  • The names, addresses and occupation of the contracting Parties;
  • The fees payable or consideration;
  • The date the work should start/ commencement date;
  • Dispute Resolution Clause whereby efforts can be made to resolve disputes outside of Court as a an alternative to instituting legal proceedings;
  • Signatures of the contracting Parties.

Disclaimer

The content herein is provided for informational purposes only and not for the purpose of providing legal advice. You should contact your attorney at law to obtain advice with respect to any particular issue or problem.

About the Author:

A.Sydney is an attorney at law in Trinidad and Tobago. She specializes in AML/CFT  Compliance, Taxation and provides Corporate Secretarial Services. Feel free to explore the website for her portfolio of companies and add her on social media:

Website:http://asydneygroup.com

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