Contracts are legally binding between two or more parties so that the offeror can provide an offer which tends to be based on the terms agreed by the 'offeror, however sometimes the offeree may not fully accept the terms and therefore make a counter-offer, once both parties have accepted the contract, the terms and conditions come into force automatically. There are three forms of acceptance: written, verbal and online. The written and online versions are safer because there is a paper trail to show that the parties have agreed a legally binding contract, however a verbally agreed contract requires a third party to witness the agreement, however this becomes void if the third party does not remember, or they are no longer able to say whether or not they have seen an agreement between the two parties. This report will specifically look at three contracts: Kelner v Baxter (1866), Spice Girls v Aprilia World Service BV (2000) and an employment contract (pages 3 - 5). The main elements within a contractual process are offer and acceptance. The bidder bids so that the individual can gain in some way, which may be financial or by having additional staff in an area. If the terms and conditions are agreed upon by both parties, then the recipient accepts the contract and signs his/her name, however if the terms and conditions are not agreed upon, the recipient will most likely make a counter-offer, which includes arguments that were not completely agreed. examined or identified in the first contract. Counter-proposals are made between the parties until a solution is reached. There tend to be four main formations within a contract:1. Valid offer made by a party2. Valid acceptance of the offer made3. Creation of a legally enforceable contract4. Considering... half the paper... they choose not to, which leads them to tell multiple untrue statements so that the contract can continue without Aprilia suspecting any wrongdoing. As a party to the contract, the Spice Girls would have been required to inform Aprilia of Geri's departure, however Aprilia could have done further research and investigation before executing the contract to ensure that the contract was not terminated. To conclude, contracts are a very complicated legal agreement, therefore all parties need to ensure that there is a high level of communication, so that all parties get what they want from the legally binding contract. As identified above, if there is no communication between the parties within the contract or there is no contract at all, the agreement between two people can become complicated and cause people to expose themselves to invitations to threats.