Consumers enter into and complete many contracts every day without even realizing it. Certainly, people know they have entered into a contract when they agree to buy big-ticket items like a house or a car and the agent tells them "Sign this, initial that" and "Hand over the check, please." But most people do not take into account that they have completed contracts when they pay for that tank of gas, purchase that train ticket, or buy that cup of coffee on the way to work.

Unfortunately, contract disputes are not uncommon between sellers and consumers. Small-claims courts are filled with cases brought by customers saying a store did not deliver the item ordered. However, stores also bring many cases saying the customer failed to make good on his or her agreement to pay for an item. Hence, it is just as important for you to know when you are not bound by a contract as it is for you to know when you are. This first section outlines what contracts are and how people form them. It goes on to consider those cases in which the necessary parts of a contract are missing and discuss your defenses against other people's claims that they have a contract with you.

Subsections

1. A Contract Defined
2. Limits to a Contract
3. Changing Situations