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A text message can be a legal document under the ESIGN Act, which gives contracts signed electronically the same weight as paper and ink contracts.

A text message can be a legal document under the ESIGN Act, which gives contracts signed electronically the same weight as paper and ink contracts.

What is Legally Binding? Legally binding requires both party's signatures on a document. A legally binding document is an agreement that has been made between two parties where specific actions are prohibited or required on behalf of one or both of the parties.

Can emails and text messages constitute a legally binding agreement? A basic binding contract must comprise of four key elements: there must be an offer, acceptance of this offer, consideration and the intention by both parties to create legal relations.

In order for a contract to be considered binding, it must include the basic elements of a contract, including offer and acceptance, consideration, mutuality or intention, legality, and capacity. If a contract includes all of these elements, it is most likely a binding contract.

Ten Tips for Making Solid Business Agreements and Contracts Get it in writing.Keep it simple.Deal with the right person.Identify each party correctly.Spell out all of the details.Specify payment obligations.Agree on circumstances that terminate the contract.Agree on a way to resolve disputes.

If a chain of text messages includes necessary contractual language, the text messages are legally binding. It's important to avoid inadvertent text message contracts that may become legally binding. Including the language ?subject to contract,? the same as in all email communications, may clarify your intent.