What is a contract?

A contract is an agreement between two or more parties that is legally binding. In South Carolina, contracts are governed by state and federal laws. A contract outlines the rights, obligations, and expectations of both parties involved. It typically includes information such as the parties’ names, what each party agrees to do, when the contract starts and ends, and any applicable penalties. To be legally binding, a contract must be in writing, signed by the parties, and include an offer, acceptance, and consideration (i.e., something of value exchanged between the parties). In South Carolina, contracts can be oral, written, or implied. Oral contracts are typically only enforceable when the contract is for something minor, such as buying groceries, and not for things that require more significant commitments, such as buying a house. Written contracts are the most common type of contracts and usually include details about how the parties will fulfill their obligations. Implied contracts are created by the conduct of the parties, rather than by the explicit agreement of both parties. For example, if two parties exchange goods or services, they may be considered to have agreed to an implicit contract even without a written agreement. In South Carolina, contract law is designed to protect people and ensure that they can rely on others to keep their promises. If one party does not fulfill their obligations under a contract, the other party may be able to take legal action to enforce the contract.

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