Front Page Titles (by Subject) Chapter 6: Contracts - The Principles of Moral and Political Philosophy
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Chapter 6: Contracts - William Paley, The Principles of Moral and Political Philosophy 
The Principles of Moral and Political Philosophy, Foreword by D.L. Le Mahieu (Indianapolis: Liberty Fund, 2002).
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A contract is a mutual promise. The obligation therefore of contracts, the sense in which they are to be interpreted, and the cases where they are not binding, will be the same as of promises.
From the principle established in the last chapter, “that the obligation of promises is to be measured by the expectation which the promiser any how voluntarily and knowingly excites,” results a rule, which governs the construction of all contracts, and is capable, from its simplicity, of being applied with great ease and certainty, viz. That
Whatever is expected by one side, and known to be so expected by the other, is to be deemed a part or condition of the contract.
The several kinds of contracts, and the order in which we propose to consider them, may be exhibited at one view, thus: