What does the term "cause of contract" refer to in the context of the Civil Code?

The term "cause of contract" in the context of the Civil Code refers to the underlying reason or purpose that motivates the parties to enter into a contract. It signifies the essential motive or rationale behind the agreement, which is often a fundamental legal element required to validate the contract. For instance, in a sales contract, the cause for the seller would be to receive payment, while for the buyer, it would be to obtain ownership of the goods. This principle supports the idea that contracts should arise from a mutual benefit or exchange, aligning with the intentions of the parties involved.

The other options address elements that are secondary to the concept of "cause." The financial aspect pertains to the contract's monetary terms rather than the reason for its existence. The duration focuses on how long the agreement is effective but does not illuminate the underlying motivation behind the contract. Lastly, while the parties involved are crucial to a contract's formation, they do not constitute the "cause." The cause is fundamentally about the rationale that drives each party to commit to the contractual obligations.