Under which law is a contract not formed until there is agreement as to what is being contracted for?

• A. Common law
• B. Civil code
• C. Statute of Frauds
• D. Administrative law

Answer: (A)

In common law contract formation, there must be a definite understanding of the thing being contracted for. The essential terms, especially the subject matter, have to be clear enough that the parties’ promises can be identified and enforced. If the parties have not agreed on what exactly is being contracted for, there is no enforceable contract because there’s no true meeting of the minds. This focus on certainty of terms is a defining feature of how contracts are formed under common law.

The other options don’t fit as well. The Statute of Frauds concerns whether certain promises must be in writing to be enforceable, not whether a contract exists in the first place. Civil code systems handle contract formation differently and may approach certainty and consent in other ways, but the specific requirement that the contract isn’t formed without agreement on the subject matter is characteristic of common law. Administrative law governs rules and procedures for government agencies, not the basic formation of contracts.