WHEN IS A CASUAL COMMUNICATION A CONTRACT? Classic contract theory says an enforceable agreement is reached when there is (1) an offer, (2) an acceptance of the offer and (3) consideration (payment or services/actions) flowing from each party to the other. Be aware that consideration can be the making of a promise to perform an action or make a payment. Certain agreements are not enforceable agreements as a matter of law. The Statute of Frauds in Florida requires certain agreements to be in writing (those concerning conveyance of land, those not performable in less than a year, those over a certain dollar value, promises to pay the debts of others, etc.). But be careful, promises that are reasonably relied upon which induce the performance of another, situations where one party may be unjustly enriched if they do not pay the fair value of services received, and other similar situations, may result in an enforceable obligation to perform or pay under the agreement (even if not in writing). Additionally, one should take care when negotiating via e-mail, text or other written correspondence. Avoid the use of phrases like: Ill do X, if youll do Y; Yes; Sure; I agree, or I accept (in response to someone elses offer). Instead, try Id like to say we have a deal, but we dont until I get manager approval and communicate that to you or Were close to a deal, but not until I think this over and get back to you with a firm decision, or even as of yet, we are negotiating and do not have an agreement, I will get back to you with any additional terms we need to include and, if we agree, I will clearly indicate our acceptance of a final deal. Communicating that there is no deal yet agreed to can be done with professional courtesy and should not offend a mature business person. Its always better to be clear about when there is a deal and when there is not a deal, than to try to sort out the facts (in front of a judge or jury, and at great expense)! If we can be of help, feel free to call: (904) 352-1945.
Posted on: Fri, 17 Jan 2014 17:21:05 +0000