Chapter-5

Void & Voidable

Agreements
Void Agreement
• “An agreement not enforceable by law is said to be void”.
(Sec (2(g)))
• A void agreement has no legal effect. it does not confer
any right to parties to it.
Agreement Agreement
made by a without
• Examples: minor consideration

Agreement
against public
Void Agreement

• Some agreements are expressly declared as Void from the

side of law, such agreements are void-ab-initio, such as:
 Agreements made by Incompetent Parties.
Agreements the meaning of which is not certain
Agreements with Unlawful Consideration and Object
Agreements without Consideration
Agreements to do an act impossible in itself
Agreement which become Void

• An agreement, which was legal & enforceable

when it was entered into, may subsequently
become void due to:
▫ Impossibility of performance
▫ Change of law
▫ Or other reasons
Voidable Agreement :
An agreement which is not enforceable by law
at the option of the one or more of the parties
thereto, but not at the option of the other or
others, is a voidable contract. (Sec (2(i)))
Example :Dewan coerces Mong entering into a
contract for the sale of Mong’s house to him.
This contract can be voidable by Mong.
Dewan cannt enforce the contract. But Mong,
if he desires, can enforce it against dewan.
Voidable Agreement
• A voidable agreement is one which can be avoided
by some of the parties of it.
• A "voidable" contract, is a valid contract and can be
enforced. Usually only one party is bound to the
contract terms in a voidable contract. The unbound
party is allowed to cancel the contract, which makes the
contract void.  
• Examples: contracts brought
by coercion, undue influence,
when one party was a minor,
Misrepresentation.
Unenforceable Agreement :
An agreement which cannot be enforceable in
the court of law because of technical defects
are called unenforceable agreements.
Example : Agreements which is made without
registration or non-payment of necessary
stamp duty.
Valid Contract

:
An agreement that fulfils the essential
elements of a contract and becomes lawfully
enforceable, is called a valid contract and
parties to a valid contract violating obligation
become subject to legal action.
• Illegal Agreement: is one which is against a law in
force in Bangladesh.
• Example: an agreement to commit murder, robbery or
cheating.
Difference between Void & Illegal
agreement
• Difference between Void & Illegal agreement

Void agreement Illegal agreement