There are key features of a joint venture agreement and points that you need to consider and/or include to ensure that your agreement leads to success and prosperity. The first question that the parties must ask themselves before drawing up a joint venture contract is: “How do we want the joint venture to be structured?” Once all the parties to the Joint Undertaking have agreed on the organisational structure of the Joint Undertaking, a Joint Undertaking Agreement will have to be drawn up in order to clarify the rights and obligations of the Parties. CONTRACT. This term, in its broader sense, includes any description of an agreement or obligation in which a party is bound by another party to pay a sum of money or to do or refrain from doing a particular act; or a contract is an act that contains a total obligation. In its strict sense, it is an agreement between two or more people who have something to do, with both parties being related* or related to each other. 1 pow. 6; Code of Lo. section 1754; Civ. code 1101; Poth. Obligatory.
pt. (i.c. 1, p. 1, para. 1; Blackstone (2 comm. 442) defines it as an agreement to do or not to do something in case of sufficient consideration. A contract has also been defined as a pact between two or more people. 6 Cranch, R. 136.
2. Contracts shall be subdivided into explicit or tacit contracts. An explicit contract is a contract in which the terms of the agreement are pronounced openly at the time of manufacture and declare that they pay a stated price for certain products. 2 bl. Com. 443. 3. Express contracts shall be distinct from three types 1. BI parol, or in writing, as specialties. 2. By specialty or seal. 3.
By minutes. 4.-1. A parol contract is not signed, sealed, after a good consideration, capable of concluding contracts, doing a legitimate act or refraining from doing anything, provided that the service that is not required by law is not required. 1 Com. Contr. Two Chit. No. 2. 5.
It follows from that definition that there must be sufficient Parol agreement; 1. The mutual or reciprocal consent of two or more persons likely to be treated. Any agreement should be sufficiently secure and complete for each party to have an act; and the agreement would be incomplete if one of the parties refused to give consent to any of its conditions. Peakes R. 227; 3. T. R. 653; 1 B. &A. 681 1 pick.
R. 278. As a general rule, the agreement must be binding on both parties or not binding on either party. There are, however, some exceptions to this rule, such as in the case of an infant contract. He can still complain about his contract, even if he cannot be sued. Stra. 937. See other cases; 6 east, 307; Three mockeries. 169; Five taunts. 788; 3 B. &C. 232.
6-2d. There must be a good and valid consideration, motive or inducement to the promise on which a party is elevated, because this is the very essence of a sealed contract and must exist, although the contract is reduced to writing. 7 R.T. 350, note (a); 2 bl. Room. 444. Cf. this diktat. Recital; Fonb. Tr. Eq.
335, n. (a) Chit. Invoices. 68. 7-3d. something must be done that is not prohibited; or something to be omitted, the performance of which is not prescribed by law. . . .