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 Maryland, as in other jurisdictions, the concept of 'meeting of the minds' is fundamental to the formation of a legally binding 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 contract law in Maryland emphasizes the objective theory of assent. This means that the courts will enforce the terms of a contract based on the objective, reasonable interpretation of the contract's language, rather than the subjective understanding of any individual party. If the language of the contract is clear and unambiguous, the courts will hold the parties to those terms, even if one party later claims a different understanding or intention. This approach helps ensure that contracts are enforceable and predictable, based on their written terms.