Intention To Create Legal Relations/To Be Legally Bound Definition
A contract is an agreement between two or more people that creates obligations that are enforceable by law. In order for a contract to be formed, there must be an offer and an acceptance of that offer, which can be done orally, in writing, or through conduct. Furthermore, the parties to the contract must have an intention to create legal relations/to be legally bound. This means that they must intend for the agreement to have legal consequences and be binding on them. The courts will presume that parties do not intend to create legal relations/to be legally bound in certain situations, such as where they are family members or close friends.
