Term Paper on Theory of Contract
The four essential elements on the basis of which the validity and proper evaluation of a contract is conducted on the presence if four different components, these include a proper proposal and acceptance, lawful considerations that validate the legal contract, free consent and the registration and writing that further make the entire contract valid along with the legal requirements that need to fulfill its legal requirements. The objective theory of contract is based upon the 19th century legal concept according to which a binding agreement would exist between two parties which would be judged by a reasonable person of the jury member, assess the different aspects and dimensions of the case that has been presented by the case by both parties. The objective theory of contract dispenses with the subjective notion through which the parties involved in the case can advocate their arguments. In the entire case scenario that has been presented to us regarding the company PepsiCo and John D. R. Leonard shows a lot of similarity with the case scenario that has been defined by the objective contract and its respective salient features primarily because of the two parties and their respective allegations that they present in front of the court and the decision that has been decided by evaluating the different aspects of the case by an unbiased and just members of the jury.
The key reason due to which the court developed the impression that there was no valid agreement in the case that has been presented here is because John seems not to be ill treated or manipulated by the company in any illegal or illicit way. On the contrary it was John who completely developed an ambiguous and gibberish approach in context of the advertising techniques that the organization has utilized, therefore since there has been no valid allegation such as intentional manipulation or indoctrination techniques on the basis of which there can be no litigation or lawsuit filed against the company, it is therefore important to mention that the court failed to find any valid argument upon which the court could pursue the case. (Ewan, 2005)
The concept of advertising or the idea upon which they are based can be said to be offers through which they develop an artificial enticement for people to buy the product that they are marketing by making use of the advertising tool, however in the case that has been presented at our disposal, it is important to mention and realize at the same time that sometimes the concept and techniques used for advertising are exaggerated to extreme levels that they may sound gibberish or even unrealistic, but one has to realize that all these techniques are only a method and a tool through which they are able to capture a wide segment and share in the market and attract a large number of audience through the nonsensical creativity that their advertisements sometimes or usually project.
A major difference between the case presented here and the unilateral agreement is that a unilateral agreement and contract usually involves a single party which decides to pay another party in return for the performance of the act, but in such a situation no such case has been presented or is available since Pepsi has made no compensation or financial reimbursement to John. (Business Dictionary, 2010)