Essential Elements of a Valid Contract

The easy way to remember the Essential Elements of a Valid Contract is "COLIC" (Competent, Offer, Legality, In writing, Consideration)While the acronym varies, remember these four pillars:1. Contractual Capacity of the Parties (Competent Parties)You cannot make a contract with a toddler or someone who is mentally declared incompetent.The Rule: Parties must be of legal age (18+) and have the mental capacity to understand their actions.Trap: If a seller is drunk when they sign, the contract might be voidable!2. Offer and Acceptance (Mutual Assent)This is the "Meeting of the Minds."One party makes an offer, and the other accepts it exactly as presented.Note: If the seller changes one tiny thing (like the closing date) and signs it, that is NOT acceptance. That is a Counteroffer, which kills the original offer.