Contracts are an integral part of day-to-day living. They control all written—and sometimes verbal—agreements between individuals and businesses. These legal documents identify the terms of employment, settle a disagreement, establish ownership and outline the conditions for selling goods or property. Massachusetts contract law safeguards businesses who enlist in agreements with suppliers or service providers. Before entering into a contract in Massachusetts, you should become familiar with some common legal terms and their meanings.
Statute of fraudsIn Massachusetts contract law, a statute of frauds calls for specific contracts to be in writing if they are to be enforced. These documents typically include those to sell, lease or mortgage real estate; contracts that, based on their terms and conditions, cannot be carried out within one year from the date of creation; prenuptial and collateral agreements and those contracts used for selling goods worth more than $500.
Open end contractIn an open-end contract the buyer can purchase goods or services over a period of time without the seller being able to alter the cost or terms and conditions of the agreement.
AcceptanceAcceptance means just that-accepting or agreeing with a proposal's terms and conditions. Once an offer is accepted, a contract can be drawn up. An employee who agrees to work for established wages is a form of acceptance.
Anticipatory repudiationAnticipatory repudiation is a breach of contract that happens when one party explicitly proclaims they do not intend to hold up their part of the contract. In such cases, the other party may decide to terminate the contract and sue for damages for the anticipatory repudiation.
Mass.gov defines anticipatory repudiation in Massachusetts contract law.
Breach of contractIn simple terms breach of contract means going back on your word without a lawful reason whether it be a verbal or written agreement. Not completing a job, not paying for goods or services in full or on time, not delivering a complete order or using lesser or different items are considered breach of contract.
Learn about breach of contract in Massachusetts law by visiting Rudolph Friedmann LLP.
Condition precedentA condition precedent is an inferred or specific condition of a contract that defers that contract from taking effect until certain events or actions take place.
Books.google.com provides more information on condition precedent in Massachusetts contract law.