Agreement Specific

Not all agreements are necessarily contractual, as it is generally to be considered that the parties intend to be legally bound. A “gentlemen`s agreement” is an agreement that is not legally applicable and must be “only honorably binding”. [6] [7] [8] With respect to orders for a given performance, an injunction may be sought if the contract prohibits a particular act. An injunction would prohibit the person from performing the act set out in the contract. Where a contract is based on an unlawful aim or is contrary to public policy, it is against the law. In the 1996 Canadian case Royal Bank of Canada v. Newell,[118] a woman forged her husband`s signature and her husband agreed to assume “all responsibility and responsibility” for the forged checks. However, the agreement was not enforceable, as it was supposed to “stifle prosecution” and the bank was forced to return payments made by the husband. Traditionally, own funds would only grant a specific benefit in respect of contracts relating to assets whose assets are unique, such as art, inheritance, etc. The reason given was that the injured party, since the goods were fungible, had an appropriate remedy against the other party`s non-compliance.

Each contracting party must be a “competent person” who is legitimate. The parties may be natural persons (“individuals”) or legal persons (“limited communities”). An agreement is reached when an “offer” is accepted. The parties must intend to be legally bound; and, to be valid, the agreement must have both an appropriate “form” and a legitimate purpose. In England (and in jurisdictions that apply English contractual principles), parties must also exchange “considerations” to create “reciprocity of engagement,” as in simpkins v Country. [40] In the event of a breach of a promise, the law of the injured party provides remedies, often in the form of financial damages or, in certain circumstances, in the form of specific compliance with the promise made. Treaties can be bilateral or unilateral. A bilateral treaty is an agreement by which each of the parties makes a promise[12] or a series of promises.

For example, in a contract for the sale of a home, the buyer promises to pay the seller US$200,000 in exchange for the seller`s promise to deliver ownership of the property.