Offer and Acceptance: One party must make a CLEAR offer with the other party accepting it. 

Mutal Intention: Both parties must intend for the agreement to be legally binding

Consideration: Something of value must be exchanged. It does not need to be equal but must be sufficient

Capacity: Both parties must have the legal capacity to enter into a legally binding contract

Free Consent: There must be no illegal influences to the agreement (E.g. Misrepresentation, Coercion, etc)

Legality of Object: The contract must be in line with public policy and law

Bilateral Contracts: Both parties make mutual promises

Unilateral Contracts: One party makes a promise in exchange for the other party's performance. The contract is formed only when the act is performed.

Express Contracts: Clearly stated terms, either in writing or verbally.

Implied Contracts: Formed by actions or conduct rather than written/spoken words.

Use Clear and Simple Language: The terms must be understandable to the average reasonable person.

Be Specific and Detailed: Spell out all obligations, timelines, conditions, and procedures to prevent misinterpretation.

Define Key Terms: Include a definitions section to ensure mutual understanding of important concepts.

Seek Legal Counsel: Always refer to legal counsel when entering or drafting contracts. 

Clauses to Include:

Parties Clause: Clearly identifies all parties involved, including legal names and PO Boxes.

Definition Clauses: Explain important terms used in the agreement for clarity.

Term and Termination Clause: Specify the duration of the contract and the conditions for ending it early.

Payment Terms: Outlines amounts, methods, due dates, and penalties for late payments.

Force Majeure Clause: Excuses a party for unforeseen/uncontrollable circumstances.