INTRODUCTION
This report focuses on the identification of the aspects of contract and negligence for business. There are agreements and contract in every business in recent than before. Verbal agreements are usually no longer used by the businesses. Written agreement in the form of contract is ore preferable to all. But, the profitability of contract is incomplete if the regulations and aspects are unknown. Well acknowledgement of contract in business provides a legal documentation securing the expectations of the parties involved. Contracts work as a safety tool of the resources. On the contrary, negligence is rising into the cornerstone of our system for compensating people for accidental damage and injuries. This is because it allows the courts to award damages in tort in some circumstances where it is not possible to do so in contract. This report will help learners to understand in and all about the contract formation and negligence of contract in businesses.

LEARNING OBJECTIVES
TASK 1 Understand the essential elements of a valid contract in a business context
TASK 2 Be able to apply the elements of a contract in business situations
TASK 3 Understand principles of liability in negligence in business activities
TASK 4 Be able to apply the principles of liability in negligence in business situations.

TASK 1
LO 1.1 Importance of the essential elements required for the formation of a valid contract
Offer and Acceptance: The existence of an offer and an acceptance are a process of dissect the procedure of arrangement to decide whether an agreement has been created. Common consent of the parties is necessary of an agreement. Without an agreement, contract is impossible.
Consideration: another vital element is consideration of the parties related to the contracted subject. Legal consideration makes the parties form a contract.
Capacity: Both or all of