What makes a contract valid?

A contract is considered valid when it complies with the essential elements required for a contract to be enforceable. These elements typically include mutual consent or agreement, a lawful object, consideration, capacity of the parties to enter into a contract, and legality of the subject matter. A valid contract allows the parties involved to enforce their rights should one party not fulfill their obligations.

While signatures from all parties are often necessary to indicate agreement, simply having signatures does not guarantee that all other essential elements of a valid contract are satisfied. A focus on financial gain may be relevant to the motivations behind a contract but does not determine its validity. Additionally, while having a written contract that is notarized can add a layer of formality and provide evidence of the agreement, it is not a requirement for all contracts to be considered valid under the law. Thus, meeting all the essential criteria is critical for validation, making compliance with the essentials the correct focus for ensuring a contract's validity.