The Law Behind the Hustle: Not Every Agreement Is a Contract.

-
 

Not every agreement is a contract but every contract is an agreement. The difference? The law only protects contracts that have the right elements.

Let’s break them down:
 
1. Offer
One party clearly proposes something— “I’ll design your logo for GHS 500.”

2. Acceptance
The other party says yes without changing the terms.
“Cool, go ahead!” No “maybe.” No “we’ll see.” Just clear acceptance.

3. Consideration
Both sides must be giving something of value. You offer your service and they offer money (or goods, or something else agreed). No freebies, no favours. If nothing is being exchanged, there’s no contract.

4. Intention to Create Legal Relations
Both people must mean business, literally. It can’t just be a friendly promise or casual arrangement.You must both intend for the agreement to have legal consequences if broken.

5. Capacity
The people making the deal must be legally fit to do so. That means they’re adults, mentally sound and not under any legal restriction.

6. Legality
You can’t enforce a contract that’s illegal. So if the deal involves fraud, money laundering, or anything the law doesn’t support. It’s not valid, no matter how well it’s written.

What is the takeaway?
That voice note, message or handshake might feel like a contract, but if it’s missing these core elements, you are standing on shaky legal ground.


Comments

Post a Comment

Popular posts from this blog

The Law Behind the Hustle: Ghana’s New MSME Classifications

-
Image
  Every thriving economy has its silent architects. The businesses that may never make headlines but keep entire families afloat, create jobs and build communities. In Ghana, we’ve long called them “small businesses,” but that name has always felt incomplete. Because let’s be honest, what’s “small” about carrying the weight of the economy on your back? Ghana has introduced a new Classification of Micro, Small and Medium Enterprises (MSME) Regulations, 2023 (L.I. 2470) and it’s a game changer. So, how does it work? The regulation breaks businesses down into four categories- Micro , Small , Medium and Large , based on three simple criteria: 1.      How many permanent employees you have 2.      How much money you make in a year (turnover) 3.      The value of your fixed assets So, if you have 1 to 5 employees , and your business brings in an amount less or equal to   GHS 150,000 , you’re officially a Mic...
Read more

The Law Behind The Hustle: READ THIS BEFORE YOU POST THAT BUSINESS FLYER!

-
Image
  Let me gist you! An  interesting  conversation is happening right now because Sarkodie has sued Ecobank Ghana, claiming they used his image in a flyer design without his permission. The flyer says “Looks Can Be Deceiving”, and honestly, the man on the flyer looks a lot like Sarkodie. I’m not saying it’s him, but Sarkodie says it looks too much like him and he didn’t sign off on it. According to the document circulating on the internet, he wants the court to: 1.      Declare that Ecobank was wrong for using his image in an advert without asking for his permission. 2.      Declare that what Ecobank did also breaks  Ghana’s law on Protection Against Unfair Competition (Act 589). 3.      Stop Ecobank permanently from ever using his image again without his consent and this includes their staff, agents and anyone acting for them. 4.      Order Ecobank to remove and stop circulating all ...
Read more

The Law Behind the Hustle : Tax Avoidance vs. Tax Evasion—Know the Difference

-
Image
  #TheMSMESeries  When it comes to taxes, most business owners just want to survive without losing everything they’ve worked for. But in trying to save money, many people unknowingly walk a fine line and sometimes, cross it. That’s why today, we’re talking about something crucial for every entrepreneur. The difference between tax avoidance and tax evasion . Two terms that sound similar, but carry very different meanings and consequences. So, what exactly is tax avoidance? Tax avoidance is when you legally reduce your tax burden by arranging your business affairs in a smart, efficient way. You’re not breaking the law, you are using it to your advantage. And yes, that is   allowed. Imagine this: Kofi registers his company in an area with special tax incentives. Adzo delays an income-generating activity until the next tax year for planning purposes. All of these are forms of tax planning and they fall under tax avoidance. It’s completely legitimate. It’s intent...
Read more