All agreements require an offer and acceptance but not all agreements constitute a legally binding contract. For an agreement to be considered a contract under Indian law, it must meet the requirements of a valid contract as defined in the Contract Act of 1872, including free consent of competent parties, lawful consideration, a lawful object, and not being void under the Act. While all contracts are a type of agreement, not all agreements satisfy the further criteria for enforceability and are therefore not legally enforceable contracts.
All agreements require an offer and acceptance but not all agreements constitute a legally binding contract. For an agreement to be considered a contract under Indian law, it must meet the requirements of a valid contract as defined in the Contract Act of 1872, including free consent of competent parties, lawful consideration, a lawful object, and not being void under the Act. While all contracts are a type of agreement, not all agreements satisfy the further criteria for enforceability and are therefore not legally enforceable contracts.
All agreements require an offer and acceptance but not all agreements constitute a legally binding contract. For an agreement to be considered a contract under Indian law, it must meet the requirements of a valid contract as defined in the Contract Act of 1872, including free consent of competent parties, lawful consideration, a lawful object, and not being void under the Act. While all contracts are a type of agreement, not all agreements satisfy the further criteria for enforceability and are therefore not legally enforceable contracts.
Explain critically- “All contracts are agreement but all agreements are not
contract”
Agreement = Offer + Acceptance.
Contract = Agreement + Enforceability by law. According to section 2(h) of the Contract Act, 1872, “an agreement enforceable by law is a contract”. That means all agreements are not contract. Obviously, an agreement is a prerequisite for the formation of a contract. In order to become an agreement into a contract, it has to satisfy all the essentials of a valid contract as mentioned in section 10 of the Contract Act 1872. Section 10 says, “All agreements are contract if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void”. An agreement clubbed with enforceability by law and several other features (i.e.., free consent, consideration, etc..,) will create a valid contract. Therefore, obviously, all contracts will be agreements.
Law School Survival Guide (Volume I of II) - Outlines and Case Summaries for Torts, Civil Procedure, Property, Contracts & Sales: Law School Survival Guides