contract law

A third party beneficiary is a person benefiting from a contract made between two parties, where the two contracting parties intended to benefit the third party beneficiary. The third party beneficiary is not a party to the contract but has rights under the contract since it was made with an intent to benefit him.

Damages awarded when a party breaches a contract that are intended to put the injured party in as good of a position as if the breaching party fully performed its contractual duties.

Under Article 2 of the Uniform Commercial Code, when dealing with installment contracts for the sale of goods, substantial impairment is the standard used to determine if a buyer has the right to reject tender by the seller, where tender is not perfect. A buyer has the right to reject an installment if the defect in the installment substantially impairs the installment and cannot be cured. Furthermore, if a defect in the installment substantially impairs the value of the entire contract, then the buyer has the right to reject the entire contract.

Under Article 2 of the Uniform Commercial Code, when a buyer rejects a seller's tender of goods because it is not a perfect tender, the seller may have an option to cure if the time for performance has not expired. For example, if the seller did not have a perfect tender of a delivery of goods sent to a buyer, such as sending less of a certain item than the buyer requested, if it is prior to a date set by the parties that was to be the latest date for delivery, the seller will have an opportunity to remedy the error.

Under Article 2 of the Uniform Commercial Code, when dealing with the sale of goods, the perfect tender rule states that a buyer is permitted to reject goods shipped or delivered to it from a seller if the seller's tender of the goods is in some way not perfect.

Under Article 2 of the Uniform Commercial Code, a destination contract is one way in which buyer and seller could contract to allocate risk of loss between buyer and seller when goods or lost or damaged before the buyer obtains them from the seller and neither buyer nor seller is to blame for the loss. Under a destination contract, the seller bears the risk of loss in such a situation, since the seller is required to get the goods that are to be shipped to the buyer. If the goods or lost or destroyed prior to reaching the buyer, the seller will be responsible for any costs.

Under Article 2 of the Uniform Commercial Code, a shipment contract is one way in which buyer and seller could contract to allocate risk of loss between buyer and seller when goods or lost or damaged before the buyer obtains them from the seller and neither buyer nor seller is to blame for the loss. With a shipment contract, the buyer bears the risk of loss for the goods prior to actually receiving them. Here, the seller's only duty is to get the goods to a common carrier and make proper delivery arrangements for the goods to get to the seller.

A promise to keep an offer open that is paid for. With an option contact, the offeror is not permitted to revoke the offer because with the payment, he is bargaining away his right to revoke the offer.

In contract law, a person's ability to satisfy the elements required for someone to enter binding contracts.  For example, capacity rules often require a person to have reached a minimum age and to have soundness of mind.