What is required for a contract to be considered valid and enforceable?

For a contract to be considered valid and enforceable, a mutual agreement on principal terms is essential. This means that all parties involved in the contract must agree to the terms and conditions set forth. This principle is rooted in the idea of "offer and acceptance," where one party offers to enter into an agreement that the other party accepts, signifying their consent and intention to be bound by those terms.

While having a written document signed by all parties can strengthen the enforceability of the contract and serve as evidence of the mutual agreement, it is not an absolute requirement for a contract to be valid. Many contracts can be verbal, though certain types of agreements may need to be in writing to be enforceable under the Statute of Frauds.

A notary's signature, while useful for verifying the identities of the parties and ensuring the document's legitimacy, does not impact the fundamental validity of the contract itself. Similarly, while performance of the contract terms illustrates that the parties have undertaken their respective obligations, it does not constitute sufficient grounds for establishing a contract's initial validity.

The key takeaway is that mutual agreement on the principal terms is critical because it underpins the very nature of a contract's existence, ensuring that parties understand and have agreed upon what they