An agreement for the sale of goods is one in which the contracting parties, one buyer and one seller, agree to exchange ownership of property for money.
How Is a Sale Different from a Barter or Exchange?
In a barter or exchange, goods are traded without the use of cash.
How Is a Sale Different from Accord and Satisfaction?
In an accord and satisfaction, property is given from one party to another in order to settle the claim of the other party.
How Can I Be Sure a Valid Agreement for the Sale of Goods Has Been Made?
There are four elements to a valid agreement for the sale of goods:
- The appropriate parties must be involved
- There must be some form of consideration (most likely the object or property being sold)
- There must be an agreed upon price between the parties
- The must be consent by the appropriate parties involved in the contract
Can Anyone Be a Buyer or Seller?
Anyone can be a buyer or seller but there are exceptions to this rule:
Persons lacking the mental capacity to enter into contracts, such as infants
Trustees, guardians, assignees of insolvents, and generally all persons who, by their connection with the owner, or by being employed concerning his affairs, have acquired, a knowledge of his property, as attorneys or related positions
Are There any Criteria for Setting Prices in a Contract?
In setting a price for the parties to mutually agree upon, three criteria must exist:
- The price must be actual or serious (seller must intend on collecting payment)
- The price must be certain
- The price must be in terms of money
Must the Consent of the Parties to Be Involved in the Contract Be in Writing?
The consent must only be in writing if the statute of frauds requires it. The statute of frauds usually requires that agreements, such as for the sale of goods, be made in writing.
How Many Different Kinds of Sales are There?
There are a few different kinds of sales you should be aware of:
- Absolute - A sale not dependent on any conditions
- Conditional - A sale dependent on conditions
- Voluntary - A sale made by the seller without any force by anyone
- Forced - A sale by the seller forced by law
- Public - A sale of property at auction - It can be both forced and voluntary
- Private - Sale made between private parties without auction and strictly voluntary
Should I Consult a Lawyer When Drafting a Contract and Reviewing It?
Contract negotiations, especially in the context of important financial contracts, can be tolling and difficult. A business lawyer can assist you with negotiations so your needs and requirements will be met. Additionally, a lawyer can help you with drafting and reviewing contracts, and explain to you your duties under the contract.