Send It: Contract Formation & The Rules of Acceptance (CM4210_Ch03)
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Send It: Contract Formation & The Rules of Acceptance (CM4210_Ch03)
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On this episode of Send It, JC dives into the legal mechanics of how a contract is actually born.
We are moving past the general concepts and drilling down into Chapter 3 of Construction Contracts (Contract Formation). You might have a "meeting of the minds," but if you don't have the specific legal pillars in place, that agreement isn't worth the paper it's printed on.
In this Deep Dive, we cover:
- The Three Pillars: Why every binding contract requires Offer, Acceptance, and Consideration.
- The Rules of Acceptance: Understanding that acceptance must be absolute and unconditional—if you change the terms, you haven't accepted; you've made a counteroffer.
- Consideration: It’s not just about money. It’s about the exchange of value—one party gives up a right or provides a benefit in exchange for the other doing the same.
- Legal Capacity: Why contracts with minors, intoxicated persons, or those declared mentally incompetent are often voidable.
- The "Mirror Image" Rule: Why your acceptance has to match the offer exactly, or else you are just restarting negotiations.
From the classroom to the job site, knowing when you are legally "on the hook" is critical for every project engineer and manager.
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