Comparative Law Essay Example | Topics and Well Written Essays - 1250 words

Comparative Law - Essay Example It is a necessary element of a contract that is intended to be legally binding. In cases where a party is attempting to prove the existence of a contract, evidence of consideration often proves useful. However, "the onus is on the party seeking to prove the contract to demonstrate intention and the nature of the relationship between the parties." (Clarke, 2008). Additionally, in order to prove that both parties intended to enter into legal relations with one another, the agreement must have been very specific in its material components. "An agreement which is 'vague or ambiguious', incomplete or constitues a mere 'agreement to agree' will not be enforceable." (Clarke, 2008). In terms of proving a contract's validity, it is important to note that contracts do not always have to be written; they can be oral. Certain types of contracts, as protected by the 1677 Statute of Frauds, do have to be signed. And it is certainly much easier to prove the validity of a contract with a signed docu ment. (Clarke, 2008). German contract law is known to place an emphasis on citizens' rights to govern their own affairs with no or little interference from the government. According to the Principle of Abstraction, "contracts only create an obligation, but there are no actual changes to the legal correlation concerning the object of the contract." (Wikipedia, 2008). In recent years, however, Germany has been moving toward a trend of greater regulation. According to Germany's Civil Code 157, "contracts are to be interpreted in accordance with good faith and fair dealing having regard to commercial practices." (Lando, 1996). Contracts are often voided if an unfair weight is placed on one of the involved parties, especially if that party is somehow weaker, such as a minority or a consumer rather than a professional. In contemplating the validity of a contract, also to be considered are the issues that were involved in the initial formation of that particular contract. (Wikipedia, 2008). Germany is a member of the European Union, which has its own set of regulatory principles regarding contracts. (Wikipedia, 2008). The Principles of European Contract Law is a lengthy document detailing regulations of contracts to be governed by law of the European Union. Some of the articles in this set of principles, to be addressed subsequently, pertain to contract terms, revocation of an offer, and unfair advantages. The European Union includes, as of January 1, 2007, Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the United Kingdom. (Rosenberg, 2007). Chinese contract law holds both parties involved in a contract to be legally equal. Similar to contract law in Germany, those contracts in which one party unfairly takes advantage of another party may be voided. Contracts in China may be oral or written but similar to both Australia and Germany, there are certain circumstances in which a contract must be written and signed. One of these cases is that of a lease. Whether oral or written, contracts must include which parties are involved, the object or subject of the contract, quantity and quality specifications, remuneration, time limit, method of performance, legal