Intent is determined by the objective theory of contracts

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Intent to enter into a contract is important in the con­tract’s formation. Intent is determined by the objective theory of contracts. That is, it is judged by outward, ob­jective facts as they would be interpreted by a reasonable person, rather than by the party’s own secret, subjec­tive in­tentions. Summarize your understanding the objective theory, and identifying facts and circumstances that should be considered by the court when enforcing the contract, in determining what are the terms of the contract? Do you agree that with the goal of adding stability and predictability to society’s actions that an objective theory is the only possible method to determine what the parties intended. What would happen if the person’s subjective belief were allowed to control the interpretation of the enforcement process?

Reference no: EM132241581

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