ABSTRACT
The rules relating to the formation of contracts are designed to establish the moment a contract comes into existence so that the parties are clear about the exact time and place that their obligations to each other begin. This is clearly important if people are to be able to rely on agreements and plan other deals on the back of them. If a contractual relationship breaks down and one of the parties seeks to be compensated, it is also critical to be able to trace back when the parties first became beholden to each other. In considering whether a contract has been formed, English law looks for agreement between the parties. The typical contract is conceived of as a two-sided bargain voluntarily and deliberately entered into by two people. This chapter focuses on agreement and is concerned with the following questions. First, how do lawyers analyse the process by which the parties to a contract reach agreement? Second, how does business practice relate to the legal analysis of agreement?
