What makes a contract legally binding?

A contract is a legally binding promise (written or oral) by one party to fulfil an obligation to another party in return for consideration. A basic binding contract must comprise four key elements: offer, acceptance, consideration and intent to create legal relations. © 2024 Thomson Reuters. All rights reserved.

How does a contract form in English law?

English law places a high value on ensuring people have truly consented to the deals that bind them in court, so long as they comply with statutory and human rights . Generally a contract forms when one person makes an offer, and another person accepts it by communicating their assent or performing the offer's terms.

Does the law recognise a contract?

The law does not recognise a contract - or agreement - to enter into a contract in the future. It has no binding force, because the offer and acceptance do not exist. To put it another way, what are the terms of the offer? One or more of the offer, acceptance or consideration remain too uncertain.