LAW OF CONTRACTNature of contracts

* A contract is a legally binding agreement, i.e. one that will be enforced by the courts.* Everyday domestic agreements are not usually intended to be legally binding, and are therefore not contracts.

* In a contract there must be consensus ad idem (agreement on the same thing), i.e. the contracting parties must agree to identical terms.* Agreement arises from offer and acceptance, but to be enforceable at law a number of other elements must be present