IF you observe the above flow chart, an Agreement which is enforceable by law is a contract.
- It means each one of us may enter into many agreements in our day to day life.
- it may be knowingly or unknowingly.
- But all of them will not be contracts.
- because, such an agreements may not have enforceability.
- A valid offer
- a valid acceptance
- a valid consideration
- capacity of parties
- free consent
- legality of object and consideration
- it must not a void agreement
- and a few more other legal requirements are needed.