The Law of Contract

Abstract

Modern society is unthinkable without the possibility to conclude binding contracts. Not only that contracts allow businesses to trade goods and offer services, but contracts are also used by citizens to pursue the things they are after, even if they do not always realize it. Thus, people conclude contracts when they buy products in a supermarket, rent an apartment, take out insurance, open a bank account, download software, take up a new job, are treated by their doctor, go to the hairdresser, or order tickets over the Internet to go to a Lady Gaga concert. The set of rules and principles that governs these transactions is the law of contract. It governs not only so-called consumer contracts like those just mentioned but also commercial contracts. One only needs to browse through a random newspaper to find examples of the latter. They range from contracts for the sale of goods to franchising and distribution contracts and also include agreements to create a joint venture, take over a company, build an airport, or invest in a foreign country.