Final answer:
Signing a contract with intent to complete it requires good faith and contractual capacity, involving a mutual understanding and the legal authority to agree to the terms.
Step-by-step explanation:
All parties signing a contract acting fairly with the intent to complete the contract is referred to as contractual capacity and good faith. This means that the parties understand the terms and are entering the contract without coercion, fraud, or undue influence.
For a contract to be legally binding, it must be made by authorized representatives or parties who have the legal capacity to do so, which typically includes the right to use their property or services as they see fit.
It is also essential for the parties involved to have a mutual agreement or a meeting of the minds, wherein they share a common understanding of the contract's fundamental terms and conditions. Individuals or firms must own the property or be duly empowered to enter into a contract. Moreover, as part of civil rights, people have the option to join labor unions and have the right to enter into contracts with others, including employers.