What describes a legally binding agreement made via mutual consent?

A legally binding agreement made via mutual consent is best described as a contract. A contract is an agreement between two or more parties that is enforceable by law. For an agreement to be considered a contract, it typically must have specific elements, including an offer, acceptance, consideration, mutuality, and the legal capacity of the parties involved.

In the context of mutual consent, both parties involved must willingly enter the agreement without coercion. This consent must also be informed; that is, both parties need to understand the terms and implications of the contract they are entering into. Once all parties have agreed, the contract becomes legally binding, meaning that it can be enforced in a court of law if necessary.

Other terms, while they may relate to agreements, do not fully encompass the definition of a legally binding agreement like a contract does. For instance, a proposal is simply an offer that hasn't been accepted yet, a covenant often refers to a formal agreement or promise in contexts such as real estate or religious texts, and an accord usually refers to an agreement that may not necessarily be legally enforceable or is a mutually agreed upon resolution to a dispute. A contract’s enforceability and the requirement of mutual consent are what clearly differentiate it from these other concepts.