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What is the meaning and difference between the formation and effectiveness of a contract?

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What is the meaning and difference between the formation and effectiveness of a contract?


        

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  • 2024-06-12 22:00:48

    What is the meaning and difference between the formation and effectiveness of a contract?
    The formation of a contract means that the parties to the contract have reached an agreement on their respective contractual rights and obligations based on their respective true intentions, and both parties have objectively established a contractual relationship. The effectiveness of a contract refers to a contract that has already been formed and has certain legal binding force between the parties in accordance with the law. The differences are as follows: 1. The content is inconsistent. The formation of a contract is a matter of fact judgment. Its focus is to judge whether the contract exists, and whether the contract is valid or not is a matter of legal value judgment. Its focus is to judge whether the contract conforms to the spirit and provisions of the law and whether it can have legal effect. Effectiveness of contract: to confirm that it is necessary to review both the legitimacy of the parties' subject and the authenticity of the parties' intention, as well as the legitimacy of the contract content. It can be seen that the judgment of the formation of the contract focuses on the inspection of the apparent state of the contract, while the effectiveness of the contract focuses on the inspection of the substantive content of the contract. 2. The rules applicable to establishment and effectiveness are different. The formation of a contract: the principle of autonomy of the will is applicable. The parties have the freedom of will to engage in contractual acts. They can freely choose the counterpart, the form and content of the contract, and create the relationship of rights and obligations according to their free will. Effectiveness of the contract: it must be judged according to the law whether the contract conforms to the law under the intervention of the state. Only a legal contract can be effective. The conditions for the formation of the contract only involve the problems between the parties, while the conditions for the effectiveness of the contract not only involve the parties, but also involve the requirements of the law. 3. The key points of contract establishment and effectiveness are different. Formation of a contract: the general elements of the formation of a contract include both parties, agreement of intention and the purpose of concluding a contract. Effectiveness of a contract: the result of expressing agreement, and the agreement itself indicates that there must be two or more parties. Therefore, it is no longer necessary to include the parties in the elements of the formation of the contract. This is the relevant law about your problem.

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    2024-06-12 22:00:48

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