Question

For a contact to be considered valid and enforceable, what must the parties to a deal do?

1) Sign the contract
2) Exchange consideration
3) Have legal capacity
4) All of the above

Answer 1

To make a contract valid and enforceable, the parties must sign the contract, exchange consideration, and have legal capacity.

Step-by-step explanation:

In order for a contract to be considered valid and enforceable, the parties to the deal must do the following:

1. Sign the contract: Both parties must physically or electronically sign the contract to indicate their agreement to its terms.
2. Exchange consideration: Consideration refers to something of value exchanged between the parties. It can be money, goods, services, or even a promise to do something.
3. Have legal capacity: This means that both parties must have the legal capacity to enter into a contract. They must be of legal age and mentally competent.

All of these requirements must be met for a contract to be considered valid and enforceable.