A valid contract requires the exchange of consideration or something of agreed value between the parties entering into the contract.

Question

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For a contract to be a valid contract, the contract must have (1) legal subject matter, (2) capacity of the parties to enter into contracts, (3) the exchange of consideration or something of agreed value between them, and (4) mutual assent between the parties, i.e., true agreement between the parties as to the contract's terms.

A Valid Contract Requires the Exchange of Consideration or Something