CONTRACT ACT
When consent to a contract is not free, a party to such contract whose consent was
caused by Fraud and Misrepresentation, may if he thinks fit, insist that the consent
shall be performed and that he shall be put in the position in which he would have
been if the representations made had been true.
Where a contract will be void on account of mistake under the ICA 1872 if – Both the
parties are mistaken as to a matter of fact and application of foreign law.
Choose the correct statement:
I – In fraud a person making a statement knows it to be false.
II – In misrepresentation the person making the statement believes it to be true.
Both statement I and II are true.
Where a person who is in a position to dominate the will of another enters into a
contract with him, and the transaction appears on the face of it or on the evidence
adduced, to be unconscionable, the burden of proving such contract was not induced
by undue influence shall lie upon the person in a position to dominate the will of the
other.
A agrees to buy from B a certain horse. It turns out that the horse was dead at the time
of the bargain, though neither party was aware of the fact. The agreement is void on
account of mistake.
It is immaterial whether the Indian Penal Code is or is not in force in the place where
the coercion is employed.
A threatens to shoot B, if B does not agree to sell his property to A at a stated price.
B’s consent has been obtained by – Coercion.
Mistake of Indian Law renders a contract voidable.
Agreement – Section 2 (e)
Revocation – Section 6
Capacity to Contract – Section 11
Coercion – Section 15
Undue influence – Section 16
Fraud – Section 17
Misrepresentation – Section 18
Agreeing on the same thing in the same sense is denoted by which maxim –
Consensus ad idem.
Age of majority according to the Indian Majority Act,1875 is –
18 years but where a guardian has been appointed by the court, it is 21 years
A minor's agreement is – Void
The Privy Council has held minor's agreement is void in the case of
Mohori Bibee v. Dharmadas.
Doctrine of Estoppel has been given in Section 15 of the Indian Evidence Act.
Who can make a contract
A person usually of unsound mind but occasionally of sound mind , may
make contract when he is of sound mind
A person usually of sound mind but occasionally of unsound mind , may
make contract when he is of sound mind
Necessaries supplied to minors is given in Section – 68
Sound mind for the purpose of making contract is given in Section – 12
Doctrine of restitution was propounded in the English case of - Leslie v. Sheill
Return of benefit secured by fraudulent minor has been codified in Section 33 of the
Specific Relief Act.
The Indian contact act came into force in the year (enforcement) – 1st September 1879
Specific Offer - When a offer is made to a define person it is call specific offer, it can
be accepted to whom it is made.
Implied offer - An offer may be implied from the conduct of the parties or the
circumstances of the case
A contract which is impossible to perform is - void.
What are the characteristics of contingent contract?
1. Its performs depends upon the happening or non happening in future of
some event.
2. The event must be uncertain.
3. The uncertain future event must be collateral to the contract .
4. All of these
Given one example of contingent contract - A contract of insurance
The difference between right in rem and right in personam –
Right in personam covers legal rights on a single person, or party to a contract.
Right in rem, they have this right against the whole world.
The communication of revocation is completed as against the person to whom it is
made when it's comes to his knowledge.
Wagering agreement - It is an agreement to pay money or money’s worth on the
happening or non happening of a specific uncertain event.
