The contents of a
contract are known as
terms or clauses. An agreement will generally consist of various
terms. Even the simplest forms of contract will have
terms. The main
terms generally being the price paid and the subject matter of the contract, eg. the goods or services provided. It is common for businesses to have standard form
written terms which can be quite lengthy. It is not a requirement that terms are written in simple contracts, although writing is required in certain types of contract eg. contracts for the sale of land, mortgages and consumer credit agreements.
Contract terms may be
express or implied and they may be classed as either
conditions, warranties or innominate terms. Where a contract is formed orally it may be difficult to establish which statements made in negotiating the contract amount to
terms and which statements are merely
representations.
