An Agreement and its Characteristics

An agreement is a legally binding contract or a mutual understanding between two or more parties who have reached a consensus on a particular matter. It is a vital aspect of business transactions and legal relationships, as it establishes the rights and obligations of the parties involved. In order for an agreement to be considered valid and enforceable, it must possess several key characteristics.

1. Offer and Acceptance:
An agreement begins with one party making an offer to another party, expressing their willingness to enter into a contract. The offer must be accepted by the other party without any modifications or conditions. Once the offer has been accepted, it becomes a legally binding contract.

2. Intention to Create Legal Relations:
For an agreement to be valid, there must be an intention from the parties involved to create legal relations. This means that they must have the intention to be legally bound by the terms and conditions of the agreement. Agreements made in social or domestic contexts may lack this intention.

3. Consideration:
Consideration refers to something of value that is exchanged between the parties involved in the agreement. It can be in the form of money, goods, services, or even a promise to do or refrain from doing something. Consideration ensures that both parties have given something in return, making the agreement legally enforceable.

4. Legal Capacity:
To form a valid agreement, the parties involved must have the legal capacity to enter into a contract. This means that they must be of sound mind, not under the influence of drugs or alcohol, and not minors or mentally incompetent individuals. A contract entered into by a person lacking legal capacity may be declared void.

5. Genuine Consent:
An agreement requires the parties to give their genuine and free consent without any undue influence, coercion, or misrepresentation. Consent must be given voluntarily and based on a clear understanding of the terms and consequences of the agreement. If consent is obtained through fraud or duress, the agreement may be declared void.

6. Certainty:
An agreement must have clear and definite terms. The terms of the agreement should be specific, leaving no room for ambiguity or confusion. Uncertain or vague terms may render the agreement unenforceable.

7. Legal Formalities:
Certain agreements must comply with specific legal formalities, such as being in writing, witnessed, or registered, to be considered valid. Failure to meet these formalities may result in the agreement being declared void or unenforceable.

Agreement Declared Void:
An agreement declared void is one that is deemed legally invalid from its inception, meaning it has no legal effect or force. This may occur due to various reasons, such as:

1. Agreement against public policy: If an agreement contradicts public policy, such as engaging in illegal activities or promoting harm to others, it will be considered void.

2. Agreement with illegal consideration: If the consideration exchanged in the agreement is illegal, the agreement will be rendered void. For example, an agreement to buy illegal drugs.

3. Agreement with a minor or mentally incompetent person: An agreement entered into with a minor (below the age of majority) or a person lacking mental capacity is generally considered voidable. The minor or incompetent person has the option to either affirm or disaffirm the contract.

4. Agreement without free consent: If