nA1u8L Cl CCn18AC1

(MLAnlnC Cl CL81Aln 1L8MS)

roposal
(le offer)
Sec 2(a)
When one person slgnlfles Lo anoLher hls
wllllngness
Lo do or Lo absLaln from dolng anyLhlng
wlLh a vlew Lo obLalnlng Lhe assenL of
LhaL elLher Lo
such acL or
AbsLlnence
he ls sald Lo make a proposal(le offer)
romlse
Sec 2(b)
AgreemenL
Sec 2(e)
When Lhe person Lo whom Lhe
proposal ls made
slgnlfles hls assenL LhereLo
Lhe proposal ls sald Lo be accepLed
A roposal when accepLed
becomes a promlse
Lvery promlse and every seL of
promlses formlng conslderaLlon for
each oLher ls an agreemenL
ConLracL
Sec 2(h)
romlsor and
romlsee
Sec 2(c)
An agreemenL enforceable by law ls a
conLracL
When Lhe proposal ls accepLed
Lhe person maklng Lhe proposal ls
called a 'promlsor' and
Lhe person accepLlng Lhe proposal ls
called as 'promlsee'
ConslderaLlon
Sec 2(d)
When aL Lhe deslre of Lhe promlsor
Lhe promlsee or any oLher person
has done or absLalned from dolng
someLhlng or
does or absLalns from dolng
someLhlng or
romlses Lo do or absLaln from
dolng someLhlng
such acL absLlnence or promlse ls
called a conslderaLlon for Lhe
promlse
Iold AgreemenL
Sec 2(g)
Ioldable ConLracL
Sec 2(l)
An agreemenL noL enforceable by
law ls sald Lo be vold
An agreemenL ls a voldable
conLracL lf
lL ls enforceable by law aL Lhe
opLlon of one or more of Lhe
parLles LhereLo
lL ls noL enforceable by law aL Lhe
opLlon of Lhe oLher or oLhers
Iold ConLracL
Sec 2([)
A conLracL
whlch ceases Lo be enforceable by law
becomes vold when lL ceases Lo be
enforceable
MLAnlnC Cl CCn18AC1
ueflnlLlon
LssenLlals of a
ConLracL
An agreemenL enforceable by law ls a
conLracL Sec 2(h)
lollowlng are Lhe Lwo baslc elemenLs of
a conLracL
a) 1here musL be an agreemenL
b) 1he agreemenL musL be enforceable
by law
ln oLher words
ConLracL AgreemenL + LnforceablllLy
of AgreemenL
WhaL agreemenLs
are conLracLs?
(Sec 10)
1here musL be an agreemenL beLween Lhe parLles
1he parLles musL have an lnLenLlon Lo creaLe legal
relaLlons
1he parLles musL freely consenL Lo enLer
lnLo Lhe agreemenL
1he parLles musL be compeLenL Lo conLracL
1here musL be conslderaLlon
1he conslderaLlon musL be lawful
1he ob[ecL of Lhe agreemenL musL be lawful
1he agreemenL ls noL expressly declared Lo be
vold
1he legal formallLles of enLerlng lnLo such a
conLracL are compleLed
lL ls posslble Lo perform Lhe agreemenL
1he Lerms of Lhe agreemenL are cerLaln or are
capable of belng made cerLaln
Case
W laLher promlsed Lo pay hls son a sum of 8s Cne lakh lf Lhe
son passed 8ank C Lxam ln Lhe flrsL aLLempL 1he son passed
Lhe examlnaLlon ln Lhe flrsL aLLempL buL faLher falled Lo pay
Lhe amounL as promlsed Son flles a sulL for recovery of Lhe
amounL SLaLe along wlLh reasons wheLher son can recover
Lhe amounL under Lhe lndlan ConLracL AcL 1872
W So|ut|on
1here ls no conLracL beLween Lhe faLher and son because
Lhere ls no lnLenLlon Lo creaLe legal relaLlons as lL ls a
domesLlc or soclal agreemenL
Slnce Lhe faLher does noL recelve any conslderaLlon
ulS1lnC1lCn 8L1WLLn An AC8LLMLn1 Anu A
CCn18AC1
Agreement
AgreemenL offer + accepLance
An agreemenL does noL creaLe a
legal obllgaLlon unless lL saLlsfles
Lhe requlremenLs of Sec 10 29
and 36
1he Lerm agreemenL ls wlder
Lhan conLracL Lvery agreemenL
ls noL a conLracL le an
unenforceable agreemenL ls noL
a conLracL
Contract
ConLracL agreemenL + enforceablllLy
A conLracL necessarlly creaLes legal
obllgaLlons
Lvery conLracL ls an agreemenL
AC8LLMLn1 1C uC lMCSSl8LL AC1
AgreemenL Lo do
an lmposslble acL
lf an agreemenL ls made Lo do
a parLlcular acL
aL Lhe Llme of maklng of
agreemenL lL ls cerLaln LhaL
such an acL ls lmposslble
1hen Lhe agreemenL ls vold
AC8LLMLn1 1C uC lMCSSl8LL AC1
AgreemenL Lo do
An acL whlch
SubsequenLly
8ecomes
lmposslble
lf a conLracL ls made Lo do a
parLlcular acL
aL Lhe Llme of maklng of conLracL
such an acL ls noL lmposslble
afLer Lhe conLracL ls made such
an acL becomes lmposslble
1hen Lhe conLracL has become vold
AC8LLMLn1 1C uC lMCSSl8LL AC1
AgreemenL Lo do
an acL known Lo
be lmposslble or
unlawful
lf one person promlses Lo do a
parLlcular acL
aL Lhe Llme of maklng such promlse he
knows LhaL such an acL ls lmposslble or
unlawful
Lhe person Lo whom such promlse ls made
dld noL know LhaL such an acL ls lmposslble
or unlawful
1hen Lhe promlsor musL make
compensaLlon for any loss whlch
Lhe promlsee has susLalned due
Lo nonperformance of Lhe promlse
lLLuS18A1lIL CASLS
S|tuat|ons
A agrees wlLh 8 Lo dlscover Lreasure
by maglc
A and 8 conLracL Lo marry each
CLher 8efore Lhe Llme flxed for Lhe
Marrlage A becomes Mad
A conLracLs Lo marry 8 belng already
Marrled Lo C and belng forbldden
8y Lhe law Lo whlch he ls sub[ecL Lo
racLlce polygamy
kesu|ts
1he agreemenL ls vold
1he conLracL has become vold
1he agreemenL ls vold A musL
make compensaLlon Lo 8 for
Lhe loss caused Lo her by
nonperformance of hls
romlse
lLLuS18A1lIL CASLS
S|tuat|ons
A conLracL Lo Lake ln cargo for 8 aL an
Amerlcan porL A's CovernmenL
AfLerwards declares war agalnsL
Amerlca
A conLracLs Lo acL aL a LheaLre for 6
MonLhs ln a conslderaLlon of a sum
pald ln advance by 8 Cn several
occaslons A ls Loo lll Lo acL
kesu|ts
1he conLracL has become vold
1he conLracL Lo acL on such
occaslons on whlch A ls
unable Lo acL because he ls lll
becomes vold
AC8LLMLn1S IClu lC8 unCL81Alnl1?
An agreemenL ls vold lf Lhe meanlng of such
AgreemenL ls
noL cerLaln or
noL capable of belng made cerLaln
lLLuS18A1lIL CASLS
S|tuat|ons
A agrees Lo sell 8 'a hundred Lons of
Cll'
A agrees Lo sell 8 100 Lons of kerosene
Cll aL Lhe raLe of 8s 13 per llLre
Mr A who ls a dealer ln coconuL oll
Cnly agrees Lo sell Lo 8 '100 Lons of
Cll' aL Lhe raLe of 8s 300 per LlLre
kesu|ts
1he agreemenL ls vold for uncerLalnLy
Slnce Lhe descrlpLlon of oll ls noL
Speclfled
1here ls no uncerLalnLy and Lherefore
Lhe agreemenL ls noL vold
1he naLure of A's Lrade lmplles LhaL A
lnLends Lo sell 100 Lons of coconuL oll
So Lhere ls no uncerLalnLy
lLLuS18A1lIL CASLS
S|tuat|ons
A agrees Lo sell Lo 8 all Lhe graln ln hls
Cranary aL Laxml nagar aL Lhe raLe of
8s 13 per kg
A agrees Lo sell Lo 8 1000 kg of rlce
aL a prlce Lo be flxed by C
A agrees Lo sell Lo 8 hls whlLe horse for
8s 300 or 8s 1000
kesu|ts
1here ls no uncerLalnLy slnce lL ls
osslble Lo deLermlne Lhe quanLlLy of
graln lylng aL 8's granary aL Laxml
nagar
As Lhe prlce ls capable of belng made
CerLaln Lhere ls no uncerLalnLy Lo
Make Lhe agreemenL vold
1here ls noLhlng Lo show whlch of Lhe
1wo prlces was Lo be glven 1herefore
1he agreemenL ls vold
CLASSlllCA1lCn Cl CCn18AC1S
(Cn Lhe basls of CreaLlon)
ress Contract
Im||ed Contract
A conLracL made by words spoken or
WrlLLen
A conLracL lnferred by
Lhe conducL of a person or
Lhe clrcumsLances of Lhe case
CLASSlllCA1lCn Cl CCn18AC1S
(Cn Lhe basls of LxecuLlon)
ecuted Contract
ecutory Contract
art|y eecuted and
art|y eecutory
A conLracL ln whlch boLh Lhe parLles
have fulfllled Lhelr obllgaLlons under
Lhe conLracL
A conLracL ln whlch boLh Lhe parLles
have sLlll Lo fulflll Lhelr obllgaLlons
A conLracL ln whlch one of Lhe
parLles has fulfllled hls obllgaLlon
buL Lhe oLher parLy ls yeL Lo fulflll
hls obllgaLlon
CLASSlllCA1lCn Cl CCn18AC1S
(Cn Lhe basls of LnforceablllLy)
Ia||d Contract
Io|d Contract
Io|d Agreement
An agreemenL whlch saLlsfles all Lhe
requlremenLs prescrlbed by law
A conLracL whlch ceases Lo be enforceable
by law becomes vold when lL ceases Lo be
enforceable
An agreemenL noL enforceable by law ls
sald Lo be vold
CLASSlllCA1lCn Cl CCn18AC1S
(Cn Lhe basls of LnforceablllLy)
Io|dab|e Contract
I||ega| Agreement
An agreemenL ls a voldable conLracL lf
lL ls enforceable by law aL Lhe opLlon of
one parLy
lL ls noL enforceable by law aL Lhe opLlon
of Lhe oLher parLy
An agreemenL Lhe ob[ecL of whlch ls
unlawful