Contract Enforcement

By: Skjold-Barthel

A contract is a legally binding exchange of promises or a formal agreement between parties that the law stands behind and will enforce if disputes arise. Contracts can be oral or written, depending on the subject matter. Examples of written contracts include the paperwork involved in buying a house or signing a professional employment agreement. Oral contracts include the exchange involved in buying a cup of coffee or working as an at-will employee.

Contracts can be unilateral or bilateral. The most common type is bilateral and involves an agreement between two parties where each side makes a promise to the other side. For example, if the contract involves the purchase of a house, the buyer promises to provide money and the seller consents to deliver the title to the property for the agreed amount of money. In a unilateral contract, one party makes a promise. A common example of this sort of agreement is a reward contract, such as for a missing pet. The pet owner agrees to pay a certain sum of money or provide a reward to anyone who finds the missing animal. People are not obliged to look for the pet, thereby removing any promise from the second party.

United States courts generally favor bilateral contracts because it is easier to determine if one party has not followed through with their part of the deal. Additionally, the terms of the contract must be concrete and complete; otherwise, a court of law will not recognize the agreement as binding.

If you have questions or problems with contract enforcement, an experienced attorney can help resolve your issues. The Minneapolis business lawyers at Skjold Barthel can help you today at 612.746.2560.