Contract- is an agreement between two people or more which is

enforceable by law section 2 (1) (b) of law of contract Act Cap 345 R.E
2019. That means that people are in liberty to set out terms and
condition which they bound on it . According to that there is
customary contract and modern law contract that to say customary
contract are those contract which are governed by customary law
allow of contract provides contracting automation solution that
increase the efficiency and overall accuracy of contacting process
under section 1 of the law of contract act cap 345 R.E 2019

It is true that there are social economic development which

necessitate modern contract to overlap and converge with those of
customary contact this can be justified by the following social
economic development that led to search convergence. Therefore the
following are the factors of social economic development which
associate to social convergence between customary contract and
modern contract law.

increase of surplus production; is the increasement of production

beyond man’s consumption ,thus led man to involve in trade. That
means that both customary contract and modern contract are involved
in trade whereby there was free exchange for example in customary
contract the mode of trade was bater system trade while in modern
contract the mode of trade is monetary trade but both involve free of
exchange.

Emergence of classes ;due to the existence of classes in the society

which lead to the difference people in the community the class of
those they have and the class of those they don’t have whereby the
class of those they don’t have intended to work to the class of those
they have so as to sustain their basic needs, this leads to the contract
of both customary and modern contract they engage in agreement ,
people they are liberty to create terms and conditions example if
feudalism mode of production serfs works to the landlord,
prolectaraits works to the bourgeois ,therefore both customary
contract and modern contract the mode of contract are similar this is
because parties to the contract there in liberty to set terms and
condition of the contract

Free concert in contract ; both customary contract and modern

contract were assigned without force so there was free
concerts .Therefore was customary contract and modern contract are
similar this is because people they were entering freely in the
contract.

Trade development; refer to the exchange of goods for goods or goods

for monetary, development of trade in the society led to contract
among the traders example in customary contract they used barter
trade system also in modern contract the trade was developed
international but still traders continue to use contract among
themselves

The following are the social economic development which associate

overlap of modern contract to customary contract

Education; which turn the society to use the modern law of

contract ,customary contract was formed orally due to the society
they was not developed well now days due to education such as
writing document typing on computer things that are developed well
now days due to education in order to avoid loss of evidence the
individual create their contract before the expert people (lawyer) this
simplify to solve the problem when there was the breach of contract,
therefore the society they found themselves they use modern
contract .

Development of science and technology ;in primitive stage mode of

productionwas poor ,also on the feudalism stage also the technology
was still poor but on capitalism stage the technology start to increase
this result the use of machine in production something that lead the
society to reach high production, also the use of computer machine
and so far this causes the society to found themselves that they
instead of using customary contract which actually the mode of
contract used was orally contract that means the contract was not
written as the result when there was the breach of contract there was
no document evidence therefore due to technology change and start to
use written contract through on document and start to use written
contract through on document and type their document on computer
and etc.

Surplus production; due to the increase in surplus it led to the

development of trade thus development of trade lead to the rise of
contract. Before when man started barter trade system he used
customary contract which was orally but after the development of
trade like international trade man started to us modern contract which
was based on written.

Increase of urbanization ; Most of customary contract are practiced

more in rural areas where few number of people who practiced such
contract compared with the people who live in urban areas which are
large in numbers due to this modern contract overlap customary
contract.

Customary contract has no statute; generally customary contract has

no document which has established customary contract (statute)
compared with modern contract which has established by a statute
this led to modern contract to over lap customary contract for
example modern contract are governed by the law of contract Act Cap
345 R.E 2019

Customary contract are not wide spread ; this is because each society
have owned customary law this means that the way customary
contract practiced by one community differ by another compared to
modern contract which is practiced by all communities, this leads
modern contract to overlap customary contract .

Although the modern law of contract overlap the customary contract

this doesn’t mean that customary contract is invalid ,this is because
the law still allow the use of customary contract in Tanzania for
example in Tanganyika order and council of 1920 this per article 24
tanganyika order council of 1920 which required the governor when
making ordinary to respect existing native laws and recognized the
validity and legitimacy of customary law . For example in the case of
MAAGWI KIMOTO V GIBENO WELEMA where the court appeal of
Tanzania held that customary laws of the country now have the same
status as any other law subject only to the constitution and other
statutory law that may provide contrary . for example in section 11 (1)
of the judicature and application of law Act Cap 358 R.E 2019 allow of
customary law to be applicable in Tanzania