The examples and perspective in this article deal primarily with the United States and do not represent a worldwide view of the subject. You may improve this article, discuss the issue on the talk page, or create a new article, as appropriate.(December 2014) (Learn how and when to remove this message)
Contract law
Formation
Capacity
Offer and acceptance
Meeting of the minds2
Abstraction principle4,5
Posting rule1
Mirror image rule
Invitation to treat
Firm offer
Consideration1,4
Implication-in-fact
Collateral contract
Defences
Misrepresentation
Mistake
Threats and unequal bargaining power
Illegality and public policy
Unconscionability
Culpa in contrahendo2
Force majeure
Frustration of purpose
Impossibility
Impracticability
Hardship
Set-off
Illusory promise1
Statute of frauds1
Non est factum1
Unclean hands1
Accord and satisfaction1
Exculpatory clause
Interpretation
Parol evidence3
Contract of adhesion
Integration clause
Contra proferentem
UNIDROIT Principles
Dispute resolution
Choice of law clause
Forum selection clause
Hague Choice of Court Convention
Arbitration
New York Convention
UNCITRAL Model Law
Mediation
Singapore Mediation Convention
Enforcement of foreign judgments
Hague Judgments Convention
Rights of third parties
Privity of contract1
Assignment
Delegation
Novation
Third-party beneficiary
Breach of contract
Anticipatory repudiation
Cover
Exclusion clause
Efficient breach
Deviation
Fundamental breach
Remedies
Specific performance3
Money damages
Liquidated, stipulated, or penal damages3
Rescission
Quasi-contractual obligations
Promissory estoppel1
Quantum meruit1
Unjust enrichment
Restitution
Negotiorum gestio2
Duties of parties
Duty of honest contractual performance (or doctrine of abuse of rights)6
Duty of good faith (also implied covenant of good faith and fair dealing or duty to negotiate in good faith)7
Contract A and Contract B in Canadian contract law6
Related areas of law
Conflict of laws
Commercial law
By jurisdiction
Australia
Canada
China (mainland)
Ireland
India
Saudi Arabia
United Kingdom
England and Wales
Scotland
United States
Other law areas
Tort law
Property law
Wills, trusts, and estates
Criminal law
Evidence
Notes
1 Specific to common law jurisdictions
2 Specific to civil and mixed law jurisdictions
3 Historically restricted in common law jurisdictions but generally accepted elsewhere; availability varies between contemporary common law jurisdictions
4 Specific to the German Bürgerliches Gesetzbuch and other civil codes based on the pandectist tradition
5 Explicitly rejected by the UNIDROIT Principles of International Commercial Contracts
6 Specific to Canadian contract law both in Québec and in the country's common law provinces
7 Specific to civil law jurisdictions, the American Uniform Commercial Code, and Canadian jurisprudence in both Québec and the common law provinces pertaining to contractual and pre-contractual negotiation
v
t
e
An option contract, or simply option, is defined as "a promise which meets the requirements for the formation of a contract and limits the promisor's power to revoke an offer".[1] Option contracts are common in relation to property (see below) and in professional sports.
An option contract is a type of contract that protects an offeree from an offeror's ability to revoke their offer to engage in a contract.
Under the common law, consideration for the option contract is required as it is still a form of contract, cf. Restatement (Second) of Contracts § 87(1). Typically, an offeree can provide consideration for the option contract by paying money for the contract or by providing value in some other form such as by rendering other performance or forbearance. Courts will generally try to find consideration if there are any grounds for doing so.[2] See consideration for more information. The Uniform Commercial Code (UCC) has eliminated a need for consideration for firm offers between merchants in some limited circumstances.[3]
^Restatement (Second) of Contracts § 25 (1981)
^"Examples and Explanations for Contracts, 7e", Brian Blum, 2017 p. 104 [p. 109 in PDF version]. Wolters Kluwer.
^"Uniform Commercial Code - § 2-205. Firm Offers". Cornell University Law School, Legal Information Institute.
An optioncontract, or simply option, is defined as "a promise which meets the requirements for the formation of a contract and limits the promisor's power...
or in a futures contractOptioncontract, a type of legal contract "Options" (Luke James song), 2014 "Options" (NSG song), 2018 "Options", a song by Doja...
holder of an optioncontract can exercise the option. Binary option Bond option CBOE S&P 500 PutWrite Index Covered call Credit default option Exotic interest...
deferring, abandoning, expanding, staging, or contracting a capital investment project. For example, real options valuation could examine the opportunity to...
options are traded on futures, sometimes called simply "futures options". A put is the option to sell a futures contract, and a call is the option to...
Holding a European put option is equivalent to holding the corresponding call option and selling an appropriate forward contract. This equivalence is called...
and S {\displaystyle S} is the spot price of the underlying asset. Optioncontracts traded on futures exchanges are mainly American-style, whereas those...
option is a financial exotic option in which the payoff is either some fixed monetary amount or nothing at all. The two main types of binary options are...
In finance, a call option, often simply labeled a "call", is a contract between the buyer and the seller of the call option to exchange a security at a...
Employee stock options (ESO) is a label that refers to compensation contracts between an employer and an employee that carries some characteristics of...
An Asian option (or average value option) is a special type of optioncontract. For Asian options, the payoff is determined by the average underlying price...
A voidable contract, unlike a void contract, is a valid contract which may be either affirmed or rejected at the option of one of the parties. At most...
A covered option is a financial transaction in which the holder of securities sells (or "writes") a type of financial optionscontract known as a "call"...
premium of an optioncontract. An increase in the underlying price increases the premium of call option and decreases the premium of put option. Reverse is...
A naked option or uncovered option is an options strategy where the optionscontract writer (i.e., the seller) does not hold the underlying asset to cover...
standard credit contract. It is a shortened name for a lease with option to purchase contract. For real estate, a lease purchase contract combines elements...
volatility (IV) of an optioncontract is that value of the volatility of the underlying instrument which, when input in an option pricing model (usually...
In finance, an option symbol is a code by which options are identified on an options exchange or a futures exchange. Before 2010, the ticker (trading)...
market price of the underlier of an optioncontract at the time of the contract's expiration is close to the option's strike price. In this situation, the...
In finance, a chooser option is a special type of optioncontract. It gives the purchaser a fixed period to decide whether the derivative will be a European...
Global Information
