Contract law governs all written and in some cases oral agreements between people and businesses. A contract is a legal document and the promises in a contract can be enforced in a court of law. Contract law provides many forms of relief to people, including compensatory, liquidated and punitive damages. In addition, contract law provides so-called equitable remedies. Courts can award these when the contract itself is either voided or considered ambiguous and a party to the contract has been injured financially or in some other way. Contract law usually begins by seeking to get the parties into the position they would have been had they each performed all obligations in the contract adequately. If this is not possible, contract law often seeks to put the parties into their pre-contract position. Finally, contract law may seek to award additional damages to a party to a contract if it is shown that another party engaged in fraudulent or grossly negligent behavior.
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