R2d § 17

Requirement of a Bargain

R2d § 17 Requirement of a Bargain
(1) Except as stated in Subsection (2), the formation of a contract requires a bargain in which there is a manifestation of mutual assent to the exchange and a consideration.

Professor's notes

Elements: (1) manifestation of mutual assent; (2) consideration. Both required; reliance-based enforcement under § 90 is the chief exception (subsection 2).

Mutual assent: Lucy v. Zehmer operationalizes the objective test: the secret-joke defense fails because outward words manifested assent.
Consideration: Hamer v. Sidway shows the bargain element: forbearance counts when sought in exchange.

Common misunderstanding: students treat § 17 as a "meeting of the minds" rule. It is the opposite. Subjective intent is irrelevant; what matters is what was manifested. The Restatement chose "manifestation" deliberately to displace the older subjective formulation.

Cases that operationalize this rule

Section 17 offers the classic synthesis of bargain-based contract formation. It places mutual assent and consideration side by side, signaling that neither element alone is ordinarily sufficient. The section also prepares readers for exceptions, such as reliance-based enforcement, that appear elsewhere in the Restatement.