Meeting of the minds (also known as mutual agreement, mutual assent, or mutuality) is a principle of contract law that requires the parties to mutually agree to the terms to form an enforceable contract.
Although a meeting of the minds was traditionally required under the subjective theory of assent to contract terms, today’s courts generally only require an objective manifestation of assent—meaning that if the written words of the contract have a clear, unambiguous meaning they will be enforced as written, even if one of the parties claims to have understood them differently.
In Texas, the concept of 'meeting of the minds' is essential to forming an enforceable contract. This principle, also known as mutual agreement, mutual assent, or mutuality, requires that all parties involved in the contract have a common understanding and agreement on the terms and conditions of the contract. While historically, the subjective intent of the parties was considered, modern Texas contract law emphasizes an objective standard. This means that the courts will enforce the terms of a contract based on the clear and unambiguous language contained within the document, rather than the subjective understanding or intentions of the parties. If the language of the contract is clear and unequivocal, the courts will hold the parties to those terms, even if one party claims a different understanding. This objective approach helps to provide certainty and predictability in contractual relationships.
