The following is a list of important Contract Law terms (A through C) and their definitions.

 

Acceptance: an unequivocal assent to an offer.

• unequivocal assent

Adams v Lindsell: case holds that acceptance of offer for bilateral contract, dispatched by an authorized mode of communication, is effective when posted. It was a step toward the establishment of the mailbox rule.

• acceptance of an offer for bilateral contract
• dispatched by authorized mode of communication
• effective when posted

Anticipatory Breach: an unequivocal repudiation of the contract before the performance has become due.  The promisee may elect to sue immediately for damages or may wait until after performance has become due to then file suit.

• unequivocal repudiation of the contract
• before performance has become due
• promisee may sue immediately or after performance has become due

Assignment: a transfer of a contractual right. An assignment is not a contract involving a promise to do something in the future, but is a present transfer of intangible property. This intangible property is a contractual right (Chose in Action).  When a valid assignment has been made, the person receiving the transfer (assignee) steps into the shoes of the person making the transfer (assignor), and is now the proper party to enforce the contractual rights . An assignment only involves the transfer of a contractual right and not a contractual obligation.  The transfer of a contractual obligation is a separate issue which is handled under the title of delegation and assumption of duties.

• a transfer or a contractual right
• a contractual right is Chose in Action
• (assignee) steps into the shoes of (assignor)
• transfer of a contractual obligation is a separate issue which is handled under the title of delegation and assumption of duties. 
  

Bilateral Contract: contract in which both sides make promises

• promise accepted by way of return promise

Breach of Contract: occurs when one party to a contract fails to perform pursuant to the terms of the contract.   

Caldwell v Cline: holds that when an offer states that it will be open for a certain number of days, the first day is considered to be the day the offeree receives the offer.

• When offer states it will be open for a certain number of days…
• 1st day is the day the offeree receives the offer

Compensatory Damages: damages rewarded to the non-breaching party to place that party back into the same position that he or she would have been in had the contract been performed as agreed to.

• damages rewarded to non-breaching party
• place that party back into the same position that he or she would have been in had the contract been performed as agreed to.

Condition: occurrence required before a promise becomes acceptable. It determines when a promise comes into and out of effect.

• act or event
• determines when a promise comes into/out of effect
  

Condition Concurrent: type of condition precedent which exists when the parties to a contract are bound to render performance at the same time.

• type of condition precedent 
• exists when the parties to a contract are bound to render performance at the same time.
  

Condition Precedent: related to an event which must occur before a duty on the part of the defendant will arise. It may arise out of express or implied term of contract, or by operation of law under the doctrine of constructive conditions.

• an event
• must occur before a duty on the part of the defendant will arise
• May arise out of express/implied term of contract OR
• by operation of law under the doctrine of constructive conditions

Condition Subsequent: related to an event which, by agreement of the parties, operates to terminate a duty of performance after it has arisen.

• event
• operates tot terminate duty of performance after it has arisen
• by agreement of the parties

Consequential Damages: Same as Compensatory Damages.  Difference is this term reflects the foreseeability requirement that arose out of Hadley v Baxendale in England. According to this case, compensation should be awarded for those injuries that the defendant, at the time the contract was made, would have foreseen as a probable result of his/her breach.

Consideration: That which is bargained for and given in exchange for a promise. Could be an act, forbearance to act, or return promise on the part of the promisee.

• that which is bargained for and given in exchange for promise
• act, forbearance to act, return promise

Constructive Conditions: Conditions that the law will imply even though the parties did not and possibly would not have included them in the contract. Such conditions will be implied by the law to promote justice.

• Conditions that the law will imply
  
• Not expressly stated

Contract of Adhesion: contract wherein the provisions have been drafted giving one party an unequal bargaining power.

• contract
• wherein provisions have been drafted giving one party an unequal bargaining power.
  

Counteroffer: an offer by the original offeree regarding the same transaction but containing terms that differ from those proposed in the original offer made by the offeror.

• offer by original offeree
• re: same transaction BUT
• containing terms different from original

Counteroffer as an Implied Rejection: a counteroffer is an implied rejection of the original offer.  A counteroffer is a new offer available for acceptance.

• counteroffer = implied rejection of original offer
• it is a new offer.

Creditor Beneficiary: one who receives the benefit of a contract in satisfaction of an actual or supposed debt or obligation that existed between the third party beneficiary and the promisee to the contract.

• one who receives the benefit of a contract
• in satisfaction of an actual or supposed debt or obligation