1. 1.04 Contracts

2. 1.04 Understand legal and ethical issues
-Contract-
Agreement between two or more people.
Enforceable by law.
1.04 Understand legal and ethical issues

3. Elements of a Contract -Offer-
Definition:
A proposal by one party to another indicating willingness to enter a contract.
1.04 Understand legal and ethical issues

4. Elements of a Contract -Offer-
Example in healthcare:
An individual enters into a relationship with a healthcare provider and offers to be a patient
1.04 Understand legal and ethical issues

5. Elements of a Contract -Acceptance-
Definition: The willingness to go along with the offer.
1.04 Understand legal and ethical issues

6. Elements of a Contract -Acceptance-
Healthcare example: Provider gives an appointment, examines, or treats the patient.
1.04 Understand legal and ethical issues

7. Elements of a Contract -Genuine Agreement-
Definition: Valid offer is met by a valid agreement
1.04 Understand legal and ethical issues

8. Elements of a Contract -Genuine Agreement-
Healthcare caution:
Fraud, misrepresentation or undue influence can destroy the genuine agreement.
1.04 Understand legal and ethical issues

9. Elements of a Contract -Capacity-
Definition:
The legal ability to enter a contract.
1.04 Understand legal and ethical issues

10. Elements of a Contract -Capacity-
*Legal Disability
Definition:
Individual who can not legally enter into a contract
1.04 Understand legal and ethical issues

11. Elements of a Contract -Capacity-
Legal Disability Examples:
Minors - younger than
18 years of age unless
married
Mentally incompetent
Under the influence of
drugs/alcohol
Semi-conscious/unconscious
1.04 Understand legal and ethical issues 11

12. Elements of a Contract -Consideration-
Definition:
The thing of value promised in exchange for something else of value.
Example:
Payment is made by the patient for the services received.
1.04 Understand legal and ethical issues

13. Elements of a Contract -Legality-
Definition:
Persons entering a contract cannot agree to do something that is illegal or forbidden by law.
Example:
Cannot agree to sell a kidney
1.04 Understand legal and ethical issues

14. 1.04 Understand legal and ethical issues
2 Types of Contracts
Implied contracts – non-verbal agreement of understanding
Expressed contracts – state the terms of the agreement in distinct and clear language, either oral or written
Implied contract – May be difficult to prove that the contract was formed.
Ex. Visit to the doctor with understanding that the patient will pay for services.
Expressed contract – easier to hold the parties accountable if the contract is written.
1.04 Understand legal and ethical issues

15. Healthcare Contract -Informed Consent-
The patient or their healthcare power of attorney gives written permission for a treatment or procedure, based on a clear understanding of desired outcomes and possible complications.
Informed consent is an essential component of a healthcare contract.
Permission can be withdrawn at any time. No procedure should be done without consent.
Example: Consent for surgery, i.e. Hysterectomy.
1.04 Understand legal and ethical issues