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Course: Legal Technician English

Lesson 10: Contract


TEACHER: MG. KAREN Y. ESCALERA VICENTE
Characteristics of Legal English
Capital letter: serve identify defined terms.
Synonym: don´t use synonym, use the same word for avoid confusion.

This agreement is personal to the Employee Este acuerdo es personal para el empleado
and the Employee shall not assign any part y el empleado no asignará ninguna parte
of the Employee’s rights or delegate any de los derechos del empleado ni delegará
part of the Employee’s obligations under ninguna parte de las obligaciones del
empleado bajo este acuerdo a
this agreement to any other person, except
cualquier otra persona, excepto que el
that the Employee may assign the empleado puede asignar los derechos del
Employee’s rights under this agreement to empleado bajo este acuerdo al personal o
the Employee’s personal or legal legal del empleado representantes,
representatives, executors, administrators, ejecutores, administradores, herederos,
heirs, distributees, devisees and legatees. distribuidores, ideales y legados
• Latin and French expressions
Ad hoc- para este fin
Affidavit- declaración jurada o firmada
plaintiff- demandante
• Common words with special meaning
• Use of archaism: Old words or phrases
Master and servant- empleador y empleado
Where – cuando
Provided that- sin embargo, siempre y cuando, bien entendido que…
False cognates
Words in two
different
languages
• Doublets and trebels are lexical • Trebels
repetition. • Cancel, annul and set aside
• doublets (cancelar).
• Able and willing (estar dispuesto a • Form, manner and method (de
algo). una determinada manera).
• Terms and conditions (cláusulas de • Give, devise and bequeath (dejar
un contrato). en testamento).
• Agree and acknowledge • Hold, possess and enjoy (tener la
(manifestar el conocimiento y la posesión y el disfrute de algo).
aceptación de un hecho). • Right, title and interest (derechos
• All and every (todos y cada uno). de propiedad).
• Indemnify and hold harmless
(exonerar de responsabilidad).
What Is a Contract? An agreement between two parties who promise to
give and receive something from each other, known as
consideration, and who intend the agreement to be
A contract is an agreement legally binding
between two or more parties to
perform a service, provide a UN contrato es un acuerdo
product or commit to an act and is entre dos o más partes para
enforceable by law. realizar un servicio,
There are several types of proporcionar un producto o
contracts, and each have specific comprometerse a un acto y es
terms and conditions. exigible por la ley.
Hay varios tipos de contratos,
y cada uno tiene términos y
Contract = Agreement + condiciones específicos.
Enforceability at Law
(Acuerdo + exigibilidad de la
ley)
What´s the contract?

An agreement between two or


more parties in which a promise is
made to do or provide something in
return for a valuable benefit.
Contract is based in common law.
Agreement vs. Contract
Agreement Contract
• An Agreement is each and every • A Contract is an Agreement which
promise which is made. is legally enforceable.
• Every Agreement is not a Contract. • Every Contract is an Agreement
• An Agreement is not enforceable • A contract is enforceable by Law.
by Law. • A Contract is a formal document.
• An Agreement is an informal • A Contract has to be in written.
document.
• An Agreement could be verbal or
written.
Examples:
• Bob invites Hilary to dinner and Hilarry
accepts the invitation. It is only a social
agreement and not enforceable in a
court of law. So It is not a contract.

• Bob agrees to sell his house to Hilary for


$50,000. This is a contract.

• Peter and Sue to go together to a picnic


doesn´t not créate any obligation on
either side and is not therefore
enforceable in law. Is a contract or an
agreement?
Elements of contract
The elements of common-law. All elements are required for a valid contract

• Offer (oferta)
• Acceptance (aceptación)
• Consideration (consideración)
• Mutuality (mutualidad)
• Capacity (capacidad)
• Legally acceptable terms (términos legalmente aceptables)
Elements of contract
Offer:
• An offer is a promise made by the offeror. A
proposal to another party to enter into an
agreement on certain terms. Money and
another thing of value in exchange for
performance.
• Example: I’m proposing to sell my car to you.
• The offeror or promisor is the person making
the offer or proposal. (I)
• The offeree or promisee is the person who
accepts or receives the offer or proposal. (YOU)
Elements of contract
Acceptance:
• An expression of definite and unconditional
agreement set out in the offer.
• Occurs when an offeree (buyer) agrees to
be mutually bound to the terms of the
contract by giving
• It can be oral or in written formal.
• Another party must accept the offer.

• Example: the offeree accepts to buy the car.


• The offeree or promise is the person who
accepts or receives the offer or proposal. (YOU)
Element of contract
• Consideration: The mutual (on both sides)
exchange of something in value(two things must
be exchanged) or the money or something of value
being exchanged between the parties.
• Example: a salesman sells a product for cash.

• Mutuality: The intent of both parties to carry out


their promise.
• Capacity: legal ability to enter into a contract.
Capacity of the parties in terms of age and mental
ability.
• Example: the person must be over 18 years old.

• Legally acceptable terms: Legally enforceable


terms and conditions, also called object of the
contract.
Example:
• Offer:
I will buy my bike for $20
• Acceptance:
Okay
• Mutuality:
Both parties agree to everything
about the contract.
• Consideration:
Something of value is exchanged. (bike
and $20)
Identifies contract elements
• Richard says to Charles, “I’ll sell you my
car for $6000 ". Charles replies, “I
agree”. Then they sing the contract.
• Offer: • Sell car
• Acceptance: • Agree
• Consideration: • $ 6 000
• Mutuality: • Promise
• Capacity: • Legal ability
• Legally acceptable terms • contract
Identify the elements of the
• When the buyer offers to sell his contract:
car to Charly for $5 000, there is
an obligation on the buyer to sell
and on Charly to buy the car at
the stipulated price. Such an
agreement is therefore,
enforceable by law.

• Mary and Jhon entered into an


agreement that Mary offered to
sell his land for a consideration of
$ 10 000 and Jhon accepted the
offer by paying the consideration
to Mary. This contract is valid.
Structure of the contract
(Tomada, con alguna modificación, de Fabra y Castillo, 1991).
(Tomada, con adaptación, de Borja,
En la ciudad de …., día, mes y año.
1998).
REUNIDOS:
1. Commencement (Introducción) De una parte, Don ….., mayor de edad, casado, con domicilio en …. y
2. Recitals/Preamble (Relación de provisto de N.I.F. ……, en lo sucesivo vendedor.

hechos) Y de otra, Don …., en lo sucesivo comprador [referenciar las mismas


circunstancias personales que en el apartado anterior referidas al
WHEREAS… otro contratante).
INTERVIENEN:
WHEREAS….
Ambas partes intervienen en su propio nombre y derecho, se
[…] reconocen mutua capacidad de obrar y obligarse y a tal efecto,
EXPONEN:
AND WHEREAS
QUE …
Now therefore, this Agreement QUE…
witnesseth that…/Now it is hereby
[…]
agreed as follows…
QUE…, por lo que ambas partes otorgan el presente
CONTRATO DE COMPRAVENTA con sujeción a las siguientes
Structure of the contract
3. Operative part (Sección efectiva) ESTIPULACIONES (CLÁUSULAS,
CONDICIONES…):
Article 1. Title: …
• PRIMERA.
Article 2. Title: … • SEGUNDA.
• Definitions (definiciones) • […]
• Conditions precedent (condiciones previas) • ENÉSIMA.
• Other operative provisions (otras cláusulas Y en prueba de conformidad y
operativas) aceptación, firman el presente por
• Boiler plate (miscelánea) duplicado
4. Testimonium clause (Fórmula de conclusión) ejemplar en el lugar y fecha al
In witness whereof, the parties… principio indicados (indicados ut
supra).
5. Signatures (Firma)
6. Schedules/Annexes/ Exhibits (Anexos)
Firmado: …… Firmado: ……
Commencement
• THIS AGREEMENT is dated [●] • El presente Contrato, de fecha
2016 and made in London. [●] de 2012, se celebra en la
• This Contract is made on [xx] ciudad de Londres.
2012 • El presente Contrato se celebra
• BETWEEN: el [xx] de 2012
• COMPANY A (as Seller); and • ENTRE:
• COMPANY B (as Buyer). • La Sociedad A (en calidad de
Vendedor); y
• la Sociedad B (en calidad de
Comprador).
Recitals
• NOW, THEREFORE, in • Por todo lo antedicho, como
consideration of the premises and contrapartida a los acuerdos alcanzados
the mutual agreements and y los compromisos adquiridos en el
covenants set forth herein, and presente contrato, y acambio de una
for other good and valuable contraprestación adecuada, las partes
consideration, the Parties hereby pactan lo siguiente.
agree as follows.
• En virtud de lo cual, las partes acuerdan
• Now this contract witnesses and suscribir el presente contrato que habrá
it is agreed and declared as de regirse por las siguientes,
follows, • Las partes convienen lo siguiente:
• IT IS AGREED as follows:
Operative part: definitions
• In this Contract, titles and Clause • En el presente Contrato, los
headings are included for ease of títulos y los encabezados de las
reference and shall not affect the claúsulas se incluyen
construction of this Contract. exclusivamente a modo de
referencia, y no afectarán a su
interpretación.
Testimonium clause
• IN WITNESS WHEREOF, the parties • Las partes manifiestan su
hereby sign this Agreement in the conformidad con el presente
date and place first above written. Contrato y, a tal efecto, lo firman
en el lugar y la fecha indicados en
el encabezamiento.
• In witness whereof, the Parties
have duly executed this Agreement
in two originals in the place and on • Y, en prueba de cuanto antecede,
the date first above written. las Partes suscriben el presente
Contrato, en dos ejemplares y a un
solo efecto, en el lugar y la fecha
señalados en el encabezamiento.
Form of contract
The contract can be:

• Written
• Oral
• Partly oral and written
Contract Types Two main types:
• Simple contract:
• Contracts include most day-to-day transactions
• Can be written, implied, or verbal
• Most should be in writing (easier to prove)
• Simple contract need not be formal as long as basic requirements are met
• Express contract (may be verbal or written)
• Implied contract (these are agreements made through actions)

• Under seal contract:


• Some contracts must be in writing, dated, signed, witnessed and under seal.
• The seal tells the courts that great deal of serious thought went into the contract.
• It tells that both parties their rights and responsibilities.
• Common contracts under seal include: wills(voluntades), home purchases, and
mortgages (hipotecas).
TYPES OF CONTRACT
• Express (Express contract is a contract in which the
terms of the contract are stated verbally, either orally
or in writing)

• Implied (An implied contract is one which is inferred


from the act or conduct of the parties or course of
dealings between them.)
• Implied in fact
• Implied in law contract or Quasi contract

• Bilateral (In a bilateral contract both of the parties


involved promise to carry out certain things)
Types of implied contract
• Implied in fact: A contract in which • Implicado de un hecho: un
an agreement is seemingly contrato en el cual un acuerdo se
intended among the parties piensa al parecer entre las partes
involved, but not particularly implicadas, pero no
verbally (in writing). particularmente verbalmente (por
escrito).
• Implied-In-Law Contract: This is • Contrato implícito en la ley: esto
also known as a Quasi-Contract. It también se conoce como cuasi-
isn’t actually a contract; this is a contrato. En realidad no es un
contract that exists by order of a contrato; este es un contrato que
court, no by agreement of the existe por orden de un tribunal, no
parties. It is a legal substitute for a por acuerdo de las partes. Traen las
contract. they bring the parties partes de un contrato sin serlo.
without being contract.
• Unilateral (A Unilateral contract is a contract in
which one of the party (offeror) demands
performance from the other party (offeree),
instead of a promise. Mutual promises are not
necessary to constitute a contract. In which one
party performs an act in exchange for the other
party’s promise.

• Void contract: It is an agreement to do illegal things


or it hasn´t legal elements.

• Voidable Contracts: A contract is voidable if one of


the parties has the option to abort the contract.
this is one that may become unenforceable by one
party but can be enforced by the other.
Examples of the contracts
Unilateral (Only one party to the contract Bilateral (Both parties to the contract
makes a promise. there is an offer on one side, and make promises to one another)
the other side accepts by taking the action
requested.) • example: I promise to pay the car
• example: Joe promises Matt that he will wash $15 in exchange for the car
pay him $100 if Matt finds his dog. Joe's wash's promise to clean my car.
performance of the contract depends on
what Matt does. If he finds the dog, Joe
must pay him.
Examples:
Express contract
Implied contract • A wrote a letter to B stating “offer to
sell my car for$ 30 000 to you”, B
• A enters a hotel, takes coffee accepts the offer by letter sent to A.
and pays the bill. Here, offer This is an express contract.
and acceptance are inferred
from the conduct of the
parties. In the same way,
where a person enters a
public bus, or obtains a ticket
from an automatic teller
machines there is an implied
contract.
Examples: Implied contract
Express contract • Bruce stops a taxi with his hand
• A says to B “will you purchase my and boards it. Bruce will pay the
bike for $200?” B says “yes” to A. prescribed fare on reaching his
destination.

Quasi contract
• A finds lost goods of B, A is bound
legally to return good back to B
Examples
Voidable contract Valid contract
• Jhon agrees to sell and deliver 10 • X offer to marry Y. Y accepts X´s offer.
bags of rice to Yeny for $ 2500 within This is a valid contract
on week. But Jhon doesn´t supply to Void contract
wheat within the specified time. The
contract becomes voidable contract. • Zack offers to marry Beth. Beth
accepts Zack´s offer. Later on Beth
dies. This contract was valid at the
time of its creation or formations but
now became void by the death of
Beth.
Don´t forget!!!
• Express contract: stated in words and may
be either oral or written.
• Implied contract: contract that comes
about from the actions of the parties.
• Bilateral contract: contains two promises
one bye each person
• Unilateral contract: contains one promise
only
• Offeror. One who makes an offer.
• Offeree. One to whom an offer is
made.
• Promisor. One who makes a promise.
• Promisee. One to whom a promise is
made.
• Obligor. One who makes and has an
obligation.
• Obligee. One to whom an obligation is
made.
• Transferor. One who makes a transfer.
• Transferee. One to whom a transfer is
made.
Activity in class
• Read it carefully. Then look in
the contract for some of those
terms defined and pay attention
to how they are used.
• Look the contract and search the
false cognates

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