Contracts
Contracts, in the form of agency agreements,
license agreements, property leases, etc. can
constitute one of the most important resource
categories of some businesses, e.g. Pan American’s
landing rights at Heathrow. A contract is
an agreement between two or more persons (or
other legal entities) intended to create a legal
obligation between them and to be legally
enforceable. The law of contract exists to regulate
all kinds of business and economic relationships,
sale, hiring, employment, construction etc.
(Walker, 1980). Contracts are therefore the
embodiment of an agreement, which define the
terms of that agreement so that each party
understands, and can protect and enforce, his
rights.