What is a contract?

Q: What is a contract?


A: A contract is an agreement or promise that the law can enforce.

Q: Are all agreements enforced by the law?


A: No, not all agreements are enforced by the law. For example, in most places, if a parent promises to take a child to get ice cream, the law will not enforce that promise as a legal contract.

Q: Do legal rules about contracts differ between jurisdictions?


A: Yes, legal rules about which promises are enforced by the law can be different in different places (or jurisdictions).

Q: Is it necessary for contracts to be written down and signed?


A: No, sometimes contracts are written down and signed by those agreeing to them but it does not always need to be. People usually sign a contract when something important or costly is being done.

Q: What happens if someone breaks a contract?


A: If someone breaks a contract, another person might sue him or her. In a lawsuit about a contract, the court will look at the contract, listen to what the people who made the contract say about it, and then make a decision about what the contract means.

Q: When do people typically sign contracts?


A: People usually sign contracts when something important or costly is being done such as when they take on a job with an employer. The contract will show what duties must be fulfilled as part of their job role and how much they will be paid for their work.

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