What is required for a contract to be legally enforceable?

For a contract to be legally enforceable, mutual agreement between the parties involved is essential. This agreement is commonly referred to as "offer and acceptance," where one party makes an offer, and the other party accepts it. This mutual assent creates a binding obligation, meaning both parties understand and agree to the terms of the contract, thereby establishing the contractual relationship.

While written documentation can be beneficial and is often required for certain types of contracts, such as real estate transactions or contracts that cannot be performed within one year, not all contracts have to be in writing to be enforceable. Similarly, witness signatures or government approval may be necessary for specific types of agreements or in particular jurisdictions but are not universally required for all contracts. The foundational element is the mutual agreement, as it validates the parties' intentions to enter into a legal obligation.