Saturday, September 28, 2019

Agreements Expressly Declared as Void.

All of the following agreements can be ecpressly declared as void:
1. Agreement made with incompetent party.
2. Agreement made under mutual mistake.
3. Agreement having unlawful objective for consideration either in full aur in parts.
4. Agreement without consideration.
5. Agreement in restraint of marriage.
6. Agreement in restraint of trade.
7. Agreement in restraint of legal proceedings.
8. Agreement with uncertain meaning or wagering agreements.
9. Agreements for Impossible events.
10. Set of reciprocal promises if illegal.

What is agreement in restraint of marriage? 
According to section 26 of Indian Contract Act 1872, every agreement which restraint a person to Marry is void provided, if he is not minor. Every person is free to marry hence an agreement restraining a person not to marry is illegal and thus void.

What is agreement in restraint of trade?
According to Section 27 of Indian Contract Act 1872, any agreement which is restraint a person to exercise a lawful profession, lawful trade  business, is a void. The law gives every person a protection to carry on a lawful profession or a trade business. Hence, agreement in restraint of trade weather at general or partial qualified and unqualified are void.
Krishna skin and company versus Jackson Jackson and employee agreed not to employee in a similar transfer after leaving the companies job the court health agreement as void.

What is agreement with uncertain meaning?
According to Section 29 of Indian Contract Act 1872, if there is any confusion in the wordings of the agreement, if the meaning of agreement is uncertain or if any term in agreement is vagyu and interpreted in many ways such agreements are called agreement with uncertain meaning and such agreements are void.
Example: A agrees to sell his house to B in rupees 20 lacs or in 30 lacs rupees, since there are two prices given in the agreement hence it is void.

What is Wagery Agreement?
  According to Section 30 of Indian Contract Act 1872, wagy means bet. Wagery agreement refers to agreement to pay money or money 'S worth upon determination of uncertain events. Such agreements are void.
characteristics of agreement promise to pay money or Money's worth promise to be conditional depending upon happening or not happening of uncertain events party should have any control on happening of the event a certain event may be past present future stick there must be two parties and both have beautiful chance to win or loss example 1 lottery than beta agreement example to explain message to pay rupees 5000 to Y if it still in cricket consideration of which promises X2 3050 beats in a minute exceptions where the agreement are not visiting agreements commercial transaction example S and K contract for the sale and purchase to deliver 100 facts of rice in future after 2 months at a price of rupees 5000 per bag it is not wagering agreement number 2 horse race Chit Fund insurance contract crossword puzzles
 what is agreement to do impossible act Section 52 of Indian Contract Act 1872 is applicable agreement should be regarding doing impossible act such agreements are void example a promises B to discover Treasure by magic hence it is quite impossible act. When alternative part of the agreement is illegal and other is legal example every text to pay rupees 50000 to buy for which wi will deliver 2x either beat or smuggled goods and set is valid if the neighbours beat but in case of the delivery goods

Tuesday, June 4, 2019

What is a CONTRACT?

  • A CONTRACT

According to Section 2(h) of Indian Contract Act 1872 "An agreement enforceable by law is a contract". It means a contract has two basic characteristics:
1. An AgreementAccording to Section 2(e) of Indian Contract Act 1872 "Every promise or set of promises forming consideration for each other is an agreement".
An Agreement = Offer + Acceptance
2. Enforceability by law: an agreement which carries certain characteristics of a contract is enforceable by the law.
There are three rules in this regard:
Rule 1: Any agreement which is enforceable by the law is a contract.
Rule 2: If any agreement does not have certain legal characteristics to become a contract, it would simply remain as an agreement.
Rule 3: The basic and primary requirement of a contract is an agreement.
That is why it is said "All contracts are agreement
but all agreements are not contract".
Characteristics and essentials of a  contract are:
1.An Agreement:According to Section 2(e) of Indian Contact Act 1872 "Every promise or set of promises forming consideration for each other is an agreement".
An Agreement = Offer + Acceptance
Example: A offers to sell his car to B in Rs. 500000/-. Here,  A is a offerer and B is accepter.
2. Intention to create legal relationship: There must be some intention to create legal relationship.
Example: X invite his friend B on dinner, B does not reach. Here,  X cannot go to the court against B to recover his loss because such agreement doesn't create any legal relationship between them.
3. Capacity to contract: All parties entering into the contract should have ability to contract, such as:
a. They should not minor.
b. They should not be of unsound mind.
c. They should not be disqualified by law to enter into contract.
4. Free consent : All parties should give their consent freely and if any party gave consent by coercion, undue influence, fraud, misrepresentation, mistake then it will not be free consent and contract will not valid.
5. Lawful objective:
a. The object of a contract must be lawful in the eyes of law.
b. There should be some value.
c. It must be real.
Example: A offers to give Rs. 50000/- to B to kill C. It is not valid contract because it has unlawful objective.
6. Certainty of meaning: There should be certainty in meaning of an agreement.
Example: X offer to sell his house to B in Rs. 5000000/- or Rs. 6000000/- here,  the meaning of agreement is uncertain so it is unenforceable by law.
7. Possibility of performance: There should be possibility of performing the obligation of the contract.
Example: A agrees with B to discover a treasure by magic on the payment of Rs. 100000/- by B to A. This is a case of impossibility of performance, hence,  unenforceable by the law.
8. Agreement should not be declared as void:
a. Agreement in restraint of marriage, b. Agreement in restraint of trade agreement,
c. Agreement in restraint of legal proceedings,
d. wagery agreements.
All these agreements are void and unenforceable by the law.
9. Fulfilment of necessary legal formalities: To be a valid contract all the  required legal formalities must be fulfilled.
10. Contract may be in oral or written form: Contract may be in oral or written form but in certain cases agreement must be in written form eg. insurance contract, negotiable contract, agreement to pay time bard payment.
For an agreement to be enforceable by the law it must carry all of these characteristics of a valid contract.