As trading through advertisements increases, for example via advertisement websites such as Blocket, trading and contracting between individuals also increases. The contract law is the applicable legislation when individuals are trading between one another, because of the fact that individuals are to be considered equal against each another, and no consumer protection provisions are applicable. The contract law is not compelling, and general principles of contract law are therefore frequently applied within the legal area of contract law.

Consistent declarations of intent shall have been delivered from both parties for a binding agreement to have been concluded. The declaration of intent, for example tender and acceptance are examples of a will to legally act. Other than tender and acceptance, the declaration of intent is usually difficult to establish and determine.

In the event of the commencement of a negotiation stage between the parties, the declarations of intent are not deemed to be binding, but rather binding in the sense of a moral attachment for the parties. To determine whether or not a binding agreement has been concluded between the parties, an interpretation is conducted with regard to either the underlying will of the declaration of intent, or the wording of the declaration of intent or to the receiver’s trust and interpretation of the will of the counterpart.

Part may assert that the declaration of intent is invalid based either on incorrect assumptions, statement errors or one parties passivity. The deemed sanctions are either; invalid declaration of intent or damage, or a combination of both consequences. The decision to sentence damage depends on bad faith or disloyal behavior of one party.