In order for a contract to be legally valid, there are certain things it must contain. As a paralegal, whether you are helping an attorney to draft a contract or whether you are reviewing a contract that has already been drafted to identify problems, you will need to be able to have a clear idea of all the elements necessary to give a contract legal validity. In this assignment, you'll be reviewing a contract to identify the necessary components and to understand why those components must be a part of that contract.

1. Review the sample contract below.
2. As you review the details of the contract, answer the following questions:

• Identify all of the necessary elements of a contract.
• As you identify each necessary element, define it and describe its purpose.
• Does this contract contain all of the necessary elements of a binding contract? If not, what is missing? How would you fix the problem?
• Why is it important for you as a paralegal to be able to read contracts and identify the necessary elements?
• How will you use this information as a paralegal in a law office?

Below is the sample contract:

This painting contract is entered into on September 23, 2011, between Joe Smith, heretofore referred to as client, and Paul's Painting, heretofore known as contractor.

The client and contractor hereby acknowledge and agree to the following terms and conditions.

1. Scope of Work
2. Contractor agrees that it will provide all materials and labor required to perform painting services for the client. Painting services shall include painting all interior and exterior trim work, and the painting of all interior walls. No exterior wall painting will be performed as part of the contract.

1. The painting services to be performed by contractor will take place at 21 Oak Street, heretofore known as "the work site."

1. The painting contractor will provide all required equipment for painting, including but not limited to ladders, scaffolding, paintRobin's Egg Blue flat matte paintpaint drops, painting tape, and brushes, as shall be required to complete painting services described within.

1. Upon completion of painting, contractor will remove all tape, tools, material, and any debris from work site.

1. The painter reserves the right to substitute materials on an as-needed basis if agreed-upon materials are not available. All materials will be of equal or greater quality to specified material. Any material change will be approved by customer within 7 days of alterations being made. Should client not approve substitutes in writing within 7 days of the material samples being provided, customer shall be deemed to have accepted the substitute.

1. Fees
2. Customer agrees to pay a deposit of $500 for work to be performed within 1 week of services commencing. The remaining balance will be due upon completion of the agreed-upon painting work specified within.

1. Fees will be due and paid in full upon satisfactory completion of the painting work performed as described with. Prior to payment, contractor shall provide to client a detailed invoice for all services performed and materials provided. Client will pay invoice in full within 1 week of receipt of invoice and completion of painting work.

1. Customer agrees to pay contractor at an hourly rate for hours actually worked. Any portion of 1 hour over 35 minutes will be paid at the full hourly rate. Portions of an hour under 35 minutes will be paid on a pro-rated basis.

1. Performance of Work
2. Contractor affirms that all work will be performed to appropriate specifications and that workmanship will be of the highest quality. All work will be performed to the satisfaction of the client and under the direction of the client. The work will be completed in accordance with standard trade practices within the house-painting industry.

1. Contractor affirms that all work will be performed in compliance with relevant building codes and permit regulations of the state and municipality.

1. The paint used will be in accordance with all requirements of municipality and township.

1. If painting contractor does not complete work within time period specified here within, contractor agrees to pay client a fee of $50.00 (USD) per day for each business day that work remains incomplete. Completeness refers to substantially complete work: i.e., minor areas requiring finishing work such as touch-up paint under windowsills or at ceiling corners will not be considered to be reflective of the job being incomplete.