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RMIT University Library - Learning Lab

Concept maps


A concept map is a way of sequencing, ordering or breaking down information into its constituent parts. It helps you to work out how a topic is put together and what areas you need to think about in order to analyse the topic.

1. Formal contracts

Formal contracts are particular types of contracts which must be completed in a particular way to be valid, eg they may require to be formed in writing.

2. Simple contracts

Simple contracts are very common types of contracts which can be completed in a variety of ways, eg can be formed verbally or in writing.

3. Apparent simple contract

The first three elements of a simple contract must be present at all times for the contract to be valid.

a) Intention

There are two presumptions: firstly that business agreements have an intention to create legal relations and secondly that social, domestic or family agreements do not. Both these presumptions can be rebutted (argued against).

b) Agreement

Offer & acceptance

c) Consideration

Something of value (legal) promised / exchanged by both parties.

4. Elements of simple contract which may affect validity

The last three elements of a simple contract may be relevant when they become an issue which could invalidate the agreement.

d) Capacity

Capacity relates to restrictions which may be placed on people's ability to enter into contracts, eg young people, mentally disabled etc.

e) Certainty

Relates to the terms of a contract which must be clear.

c) Legality

Legality relates to the objects of the contract which must be legal.

5. Simple contracts - forms

'Some' simple contracts are required to be in writing, eg land contracts. It is important to check whether there are any 'form' requirements to your particular simple contract before you enter into it.