Validity
Validity means whether a contract, document or legal act has legal effect. A contract is valid and binding in BC if there is offer and acceptance, consideration unless the document is under seal, certainty of essential terms, an intention to create legal relations, capacity and a lawful purpose. A valid contract may still be voidable for misrepresentation, duress, undue influence or unconscionability.
How BC law treats it
Contract validity in BC is governed mainly by the common law. Some documents must also meet formal requirements, for example certain land contracts must be in writing to be enforceable under the Law and Equity Act, RSBC 1996, c 253, s. 59.
What it means for your business
Make sure key contracts are in writing, clearly identify the parties and essential terms, and are signed by people with authority.
Risks and common mistakes
An agreement to agree, or one missing an essential term such as price, may be unenforceable.
For the full explanation, see our entry on Contract.
General information about British Columbia and Canadian law, current to October 2026. It is not legal advice.
