What must parties have in order to form a valid contract?

To form a valid contract, parties must have an agreement, consideration, legal capacity, and legality. These elements are fundamental to contract law.

Agreement entails a mutual assent between parties, commonly demonstrated through an offer and acceptance process. Consideration refers to something of value that is exchanged between the parties, which is essential for the contract to be enforceable. Without consideration, there is no incentive for either party to fulfill their promises, making the agreement otherwise unenforceable.

Legal capacity ensures that all parties involved have the ability to enter into a contract, which typically means they are of legal age and mentally competent. Lastly, the legality of the contract's purpose is crucial; the agreement must involve lawful activities. If the subject matter of the contract is illegal, it cannot be enforced.

The other options suggest various elements that may be important in certain contexts but are not universally required for a valid contract. For instance, intent is relevant in establishing the seriousness of an agreement, but it does not replace the necessity of the four elements cited in the correct choice. Written proof and witness confirmation can strengthen a contract's enforceability, but many contracts can be valid even if they are oral, provided they meet other criteria. Additionally, while negotiation and mutual benefit may contribute to