Business contracts are legal agreements between a business and/or individual and another party.
Contracts must contain five key elements:
- All parties involved in contract
- The considerations that include what each party has to gain from the contract
- The terms and conditions of the contract
- Competent parties: A contract may be invalid if it is shown that one of the parties was incompetent mentally or under the influence.
- The legal purpose must be written and explained for the contract to be valid