Stages of a contract
It is well-established that a contract undergoes various stages that include its
negotiation or preparation, its perfection, and finally, its consummation.[1]
Negotiation covers the period from the time the prospective
contracting parties indicate interest in the contract to the
time the contract is concluded (perfected). The perfection of the contract takes place upon the
concurrence of its essential elements. A contract which
is consensual as to perfection is so established upon a mere meeting
of minds, i.e., the concurrence of offer and acceptance, on the object and
on the cause or consideration. The consummation stage begins when the parties perform their respective
undertakings under the contract, culminating in its extinguishment.[2]
Negotiation covers the period from the time the prospective
contracting parties indicate interest in the contract to the
time the contract is concluded (perfected). The perfection of the contract takes place upon the
concurrence of its essential elements. A contract which
is consensual as to perfection is so established upon a mere meeting
of minds, i.e., the concurrence of offer and acceptance, on the object and
on the cause or consideration. The consummation stage begins when the parties perform their respective
undertakings under the contract, culminating in its extinguishment.[2]
[1] Limketkai Sons Milling, Inc. v. CA et al., G.R. No. 118509, 250 SCRA 523,
535-536, December 1, 1995.
[2] Id.