Legality of the Object in a Contract

When it comes to drafting or reviewing legal contracts, one aspect that cannot be overlooked is the legality of the object in a contract. This refers to the subject matter or purpose of the contract and whether it is legal or not. In this article, we will delve into the concept of legality of the object in a contract and why it is important to ensure this element is present in your contract.

What is Legality of Object?

Legality of object is one of the essential elements of a contract, alongside offer, acceptance, consideration, capacity, and intention to create legal relations. In simple terms, it means that the object or purpose of the contract must be legal for the contract to be enforceable.

This element ensures that parties to a contract are not engaging in illegal activities or injuring public policy. In essence, the law will not enforce a contract whose object or purpose is illegal, immoral, or against public policy.

Examples of illegal objects in a contract may include the sale of stolen property, gambling contracts, contracts for the sale of illegal substances, or contracts that seek to violate existing laws and regulations.

Why is Legality of Object Important?

The legality of the object in a contract ensures that parties are on the same page and that the intent of the contract is not to commit an illegal act. It also protects the public from contracts that can cause harm or injury.

Illegal contracts are considered void and unenforceable in court. This means that any agreement or consideration exchanged between the parties is not recoverable. Therefore, it is crucial to ensure the legality of the object in a contract to avoid losses and disputes.

How to Ensure Legality of Object in a Contract?

To ensure the legality of the object in a contract, it is essential to draft the contract in a clear and precise language that spells out the purpose and intent of the contract. The language used should also avoid ambiguity, as this may lead to disputes and litigation.

Parties should also ensure that the subject matter of the contract is complying with existing laws and regulations. This may require consulting with legal professionals to ensure that the contract is not violating any laws and regulations.

Conclusion

Contracts are essential documents for any business or individual engaging in commercial activities. The legality of the object in a contract is one of the fundamental elements that make a contract enforceable. Parties should be aware of what constitutes illegal objects and ensure that they do not include such in their contracts. By understanding this concept, parties can avoid disputes and losses and ensure that their contracts are valid and enforceable.