Contract Law in Canada. A contract is a legally binding agreement between two or more persons for a particular purpose. It is an instrument for the economic exchange of goods and services. In Canada, contract law is administered both in common law and, in Quebec, civil law.
A contract is a
promise or set of promises, the breach of which gives a remedy or the performance of which creates a legally recognized obligation. Contract law in Canada is, for the most part, governed by the common law of the provinces and territories or, in the case of Quebec, by the civil law as set out in the Civil Code of Quebec.
More comprehensively, a valid and operative contract may be defined as an agreement free from vitiating factors such as mistake or misrepresentation, and constituted by the unconditional acceptance of an outstanding offer involving a reasonably precise and complete set of terms between two or more contractually competent parties, who intend to create mutual and reciprocal rights and duties that may be the subject of judicial...
Basic contract law requires that: The parties intend to make a contract, There is an offer and acceptance, and There is consideration, which means the parties each receive something of value (e.g. the company receives payment and the consumer receives goods or services). The contract can be in writing or oral.Canadian contract law is composed of two parallel systems: a
common law framework outside Québec and a civil law framework within Québec. Outside Québec, Canadian contract law is derived from English contract law, though it has developed distinctly since Canadian Confederation in 1867.
