The primary purpose of a contract is to create a legally binding agreement between parties, outlining their respective rights and obligations.

Legality is not an essential element of a valid contract. While contracts must be lawful, their legality is not a prerequisite for their validity.

Consideration is the legal term for the exchange of something of value between parties to a contract, such as money, goods, or services.

A promise to do something in the future is not a valid form of consideration because it is not a present exchange of value.

Minors, mentally incompetent individuals, and intoxicated individuals are all considered to lack the capacity to enter into a valid contract.

The statute of limitations is not a valid defense to a breach of contract claim. It is a procedural rule that sets a time limit within which a lawsuit must be filed.

Damages are the primary remedy for breach of contract. They aim to compensate the non-breaching party for the losses suffered as a result of the breach.

Punitive damages are not a type of damages that can be awarded for breach of contract. They are typically awarded in tort cases to punish the defendant for egregious conduct.

The purpose of a liquidated damages clause is to set a specific amount of damages to be paid in case of breach, thereby avoiding the need for a court to determine the amount of damages.

Termination by operation of law is not a valid way to terminate a contract. Contracts can only be terminated by mutual agreement of the parties, by performance of the contract, or by breach of contract.

A bilateral contract is a contract in which both parties make promises to each other in exchange for each other's promises.

A unilateral contract is not a type of bilateral contract. In a unilateral contract, only one party makes a promise in exchange for the other party's performance.

A unilateral contract is a contract in which one party makes a promise in exchange for the other party's performance.

Silence is not a valid way to accept an offer. Acceptance must be communicated to the offeror in some way, either by words or by conduct.

A counteroffer is a new offer made by the offeree in response to the offeror's offer. It is considered a modification of the original offer and terminates the original offer.