Many Nevada companies rely on contracts for a variety of their everyday business functions, such as order fulfillment and employee confidentiality. We at the Aldrich Law Firm are very familiar with the workings of contracts in these types of business contexts. Although these legal agreements can be quite complex, they do share some basic commonalities.
In order for a contract to be considered legally binding it must meet certain requirements, which are also known as elements. According to the Cornell University Legal Information Institute, in most states there are four basic elements to a legal contract:
- Mutual assent
- Consideration
- Capacity
- Legality
If these elements are established, then a contract exists and the promises made by its parties are legally enforceable. If the elements are not established, there is no contract and it is not possible for any party to successfully pursue a breach of contract claim.
Should one or more parties in a legally binding contract fail to fulfill their obligations, they may be held liable for breach of contract. There are various remedies that may be ordered in favor of a non-breaching party, including general and reliance damages, which are monetary in nature. In some cases, such as those involving real property or rare goods, specific performance may be ordered as a remedy. Specific performance requires that a breaching party fulfill (or fulfill as closely as possible) the promise in the original contract.
To learn more about issues that may arise in a confidentiality agreement dispute or a breach of contract, please visit our page on contract litigation.
