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All business contracts must contain the essential elements of an agreement. The essential elements include consideration, offer and acceptance, a legal purpose, capable parties and mutual assent. Consideration means something of value must be exchanged.
The phrase time is of the essence simply means that timing is material to the contract; for example, if you have a contract for 100 balloons for a party in two weeks, it is essential that the balloon supplier performs their contractual obligations within a particular time frame, or there's really not much point to
Agreement Period means the period beginning from date of signing of agreement by the Chairman and ending at the end of 2 (Two) years of commencement date unless terminated earlier or extended in terms hereof.
§200.77, the term period of agreement refers to the time during which the Sub-Recipient may incur new obligations to carry out the work authorized under this Agreement.
The basic elements required for the agreement to be a legally enforceable contract are: mutual assent, expressed by a valid offer and acceptance; adequate consideration; capacity; and legality.