Which of the following are key components of a contract?

The key components of a contract are foundational elements that are necessary for a contract to be legally enforceable. The correct choice identifies five essential components: offer, acceptance, consideration, capacity, and legality.

• Offer is the initial proposal by one party to another, indicating a willingness to enter into an agreement under specified terms.

• Acceptance refers to the agreement of the other party to the terms of the offer. It must be clear and communicated effectively to validate the contract.

• Consideration is something of value that is exchanged between the parties, which can be in the form of money, services, or goods. This is crucial because it demonstrates that both parties are entering into the contract willingly and are providing something in return.

• Capacity means that all parties involved must have the legal ability to enter into a contract, which generally requires that they are of legal age and sound mind.

• Legality signifies that the subject matter of the contract must be legal and not against public policy.

These components ensure that the agreement is recognized as a valid contract under the law, providing a framework to which parties can refer in case of disputes or misunderstandings.

The other options contain elements that, while related to contracts,