Nature and Kinds of Contract notes
In this blog, we share nature and kind of contract notes, which is very important to understand which type of contract is valid, also important for CA foundation Basic knowledge.
Nature and kind of contract are the fundamentals of contract law. Fundamental will be never changed. It is an introduction part of the Indian contract act 1872. Indian contract act 1872 plays an important in the Law.
We try to share the Indian contract act 1872 notes pdf. I hope your all doubt will be clear in this Indian contract act notes pdf. If this Pdf is best, then share pdf to your friend.
The Indian contract act 1872 came into force on 1stSEPT 1872.
Section-1 Preliminary Section
“This act will be known as the Indian contract act 1872. It will applicable to the whole of india except Jammu & Kashmir.”
- It came into 1st September 1872.
- Section 1 to 75 deals with the general principal governing the law of contract.
Section 2 (h)- Contract
“Contract is an agreement enforceable by law.”
Section 2 (e)- Agreement
“Every promise & set of promises forming consideration for each other is an agreement.”
Section 2 (b)- Promise
“When a person to whom the offer (proposal) is made signifies his assent (i.e consent) to that offer the offer is said to be accepted when the offer accepted it became a promise.”
Section 2 (a)- Offer (proposal)
“When a person signifies his willingness to do or not to do something with a view to obtain the assent (i.e. consent) of that person. That is said to offer.”
Offer + Acceptance = Agreement
Agreement + Enforceable by law = Contract
Consensus – ad – idem
“ Meeting of minds of the parties in full & Final agreement.”
- When the parties agree upon the same thing in the same sense, they are said to be at consent. i.e. they have consensus – ad – idem.
- The agreement must have consensus – ad – idem.
- Every agreement is not a contract but every contract is first an agreement.
- The Indian contract act is neither the whole law of contract nor the whole law of obligation.
- Ignoratia juris non excusat.
- Ignorance of the law is not an excuse.
Section 10
All agreements are contract if they are made.
- By free consent of the.
- Parties competent (capable) to contract.
- For a lawful consideration and.
- With a lawful object and.
- Which are not expressly declared to be void.
Essential elements of a valid contract:-
- Offer and acceptance
- Intention to create legal relationship
- Capacity of parties to contract
- Free consent of parties
- Lawful consideration
- Lawful object
- Possibility of performance
- Not expressly declared to be void.
Difference Between Void Contract & Illegal Agreement.
Void Contract:
- It is simply not enforceable by law.
- It does not involve punishment.
- It is not necessarily illegal.
- It is may not be void from the beginning. If may became void subsequently.
- Agreements collateral to a void contract is not affected. (If they are valid, they remain valid.)
Illegal Agreement:
- It is prohibited by law, (opposed to law).
- It involves punishment.
- It is void too.
- It is void from the vary beginning.
- Agreement collateral to illegal. Agreement is tainted with Illegality.
Section 2 (i) Voidable Contract
A contract which can be enforced at the option of one of the parties but not at the option of the other is a voidable contract.
The voidable contract can be enforced only at the option of that party whose consent was not Free. (I.E. The Aggrieved Party)
- Section 2 (a) Offer (Proposal)
- Section 2 (b) Acceptance
- Section 2 (c) Promisor And Promise
- Section 2 (d) Consideration
- Section 2 (e) Agreement
- Section 2 (f) Reciprocal Promise
- Section 2 (g) Void Agreement
- Section 2 (h) Contract
- Section 2 (i) Voidable Contract
- Section 2 (j) Void Contract.
Just In Rem = Right Against A Particular Thing
Just In Personam = Right Against A Particular Person
The Law Of Contract Creates The Right Known As Jus In Personam.
Download Nature and kind of Contract class note pdf- part of Indian contract act. important for ca foundation student
