Example: A promises B to sell his laptop for Rs. 25,000 / – and B agrees to buy it for the amount mentioned. This is where «A» and «B» reached an agreement. Commercial contracts are agreements between two or more parties that create legally binding obligations for non-performance or performance of certain tasks. They may relate to transactions involving a transfer of ownership or to transactions involving sales and services. Anyone can enter into a contract, including government agencies, individuals, and commercial organizations. If a person (promiser) offers something to someone else (promise) and the person concerned accepts the proposal with an equivalent consideration, this obligation is called an agreement. If two or more people agree on the same thing in the same sense (i.e.: Consensus ad idem), this identity of the mind is concordance. Below, the types of agreements are as follows: compensation literally means keeping harmless.
Therefore, an agreement in which one party expressly agrees to indemnify another person, party or party for damages that may result from an agreement is referred to as a compensation contract or indemnification agreement. An example would be that a pet store owner would ask the pet store staff to sign a compensation agreement in order to avoid legal problems when a pet bites the worker in any case. The worker may still be covered by the employer for medical expenses, but this must avoid intentionally harming the worker. Employment contracts are the third category of business contracts. These contracts are an important part of hiring your business and can protect both your business and your employees. For example, a general employment contract defines your relationship with your employee and can cover several crucial topics: what most contracting parties don`t know is that there are different commercial contracts, and each contract best fits a particular type of transaction. . . .