sections Flashcards

1
Q

section about offer / proposal - when a person signifies to other the willingness to do something or abstain from doing somethibg in order to OBTAIN ASSENT

A

sec 2a

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2
Q

what is sec 2b

A

when a person to whom a proposal is made, signifies assent- AKA ACCEPTANCE - and then proposal becomes promise

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3
Q

which subsection of section 2 mentions consideration

A

section 2d

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4
Q

sec 2h, 2g

A

2gAn agreement not enforceable by law is said to be void;

2(h) An agreement enforceable by law is a contract

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5
Q

first mention of viodeable contract

A

sec2i -

enforceable at option of 1+ parties but not enforceable at option of another

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6
Q

what are some agreements unenforceable

A

Agreements without consideration except it is written and registered or is a promise to compensate for something done or is a promise to pay a debt barred by limitation law.
Agreements in restraint of marriage
Agreements in restraint of trade
Agreements in restraint of legal proceedings
Agreements void for uncertainty
Agreements by way of wager
Agreements contingent on an impossible event
Agreements to do impossible act

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7
Q

what is the test of contractual intention and is intention to contract mention in ica

A

The test of contractual intention is objective, not subjective. What mat
ters is not what the parties had in mind, but what a reasonable person
would think, in the circumstances, their intention to be. T

ICA does not mention intention to contract but english law does- merrit v merrit, balfour v balfour

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8
Q

. Acceptance by performing conditions, or receiving consideration

A

Section 8 - acceptance of consideration= acceptance of proposal

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9
Q

mode of communication according to whch fifoot ?

A

Eliason v Henshaw
- A offered to buy flour from B requesting that acceptance should be sent
bythe wagon which brought the offer.B sent his acceptance by post, think
ing that this would reach the offeror more speedily. But the letter arrived
after the time of the wagon. A was held to be not bound bythe acceptance

but whqat if it had arrived faster by post? - ? According to Winfield^’ and Cheshire and Fifoot,^” in that case the
offeror would have been bound unless “he had an exclusive preference for
reply by wagon”. A minor departure from the prescribed mode of communi
cation should not upset the fact of acceptance provided that the communica
tion is made in an equally expeditious way,

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10
Q

section that says acceptance must be absolutw

A

S. 7. Acceptance must be absolute.—In order to convert a proposal into a
promise, the acceptance must—
(1) be absolute and unqualified,
(2) be expressed in some usual and reasonable manner, unless the pro
posal prescribes the manner in which it isto be accepted, ifthe proposal prescribes a manner in which it is to be accepted, and the acceptance is
. not made in such manner, the proposer may, within a reasonable time
after the acceptance is communicated to him, insist that his proposal
shall be accepted in the prescribed manner, and not otherwise; but, if he
fails to do so, he accepts the acceptance.

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11
Q

section 4 of ica on binding of letters

A

According to the section, when a letter of acceptance is
posted and is out of the power of the acceptor, the proposer becomes bound.
But the acceptor will become bound only when the letter isreceived bythe
proposer.

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12
Q

what article of constitution empowers Govt of india to contract

A

Under Article 298, 299 of the Indian Constitution, the power of the Union and the State government to carry on any trade or business has been provided.
contracts are made under name of president or governer. under clause 2 of 299 the president and governor cannot be personally held liable

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13
Q

what if govt derives benefit from person by an agreemtn that dpesnt fuflil 299

A

the Government will be held liable for compensating the other party under Section 70 of the Contract Act and such a contract will be deemed to be a quasi-contract to the extent the Government gets the benefit. This has been provided to protect an innocent party from suffering loss.

Although Section 70 allows the party to recover the benefits provided by it, it does not affect the binding character of Article 299. Under Section 70 a party CANNOT sue for the SPECIFIC PERFORMANCE of the contract and he cannot ask for damages for the breach of contract. Under Section 70, the cause of action is not the breach of contract but instead, it is aimed to avoid the unjust enrichment to any party whether a person or even the Government. So, the claim under section 70 is based on the assumption that the contract is ineffective and thus it does not amount to a contract at all.

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14
Q

what section talks about revocation of acceptance and proposals

A

s5. Revocation of proposals and acceptances.—A proposal may be revoked at any time before the
communication of its acceptance is complete as against the proposer, but not afterwards.
An acceptance may be revoked at any time before the communication of the acceptance is complete
as against the acceptor, but not afterwards.
section 6

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15
Q

capacity to contract/\?

mohori bibi v dharmodas ghose

A

section 11
who dont have capacity to contract-minors,
(2) persons of unsound mind, and
(3) persons disqualified by law to which they are subjec

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16
Q

claim for necessities

A

section 68 - fa person incapable of entering into a contract, or
anyone whom he is legally bound to support, is supplied by another person
with necessaries suited to his condition in life, the person who has furnished
such supplies is entitled to be reimbursed from the property of such incapable
person

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17
Q

Unsound mind section

A

section 12

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18
Q

section 14

A

free consent — Consent is said to be free when it is not
caused by:
(1) coercion, as defined in Section 15, or
(2) undue influence, as defined in Section 16, or
(3) fraud, as defined in Section 17, or
(4) misrepresentation, as defined in Section 18, or
(5) mistake, subject to the provisions of Sections 20,21 and 22.
Consent is said to be so caused when it would not have been given but for
the existence of such coercion, undue influence, fraud, misrepresentation or
mistake

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19
Q

Section15

A

coercion - committing or threatening to commit an act prohibited by IPC

20
Q

Section for undue influence

A

Sec16 - one of the parties is in a position to dominate the

will of the other and uses that position to obtain an unfair advantage over the other.

21
Q

sec17 fraud

A

“Fraud” means and includes any of the following acts committed by a party
to a contract with intent to deceive another party thereto of his
agent, or to induce him to enter into the contract

22
Q

section for misrepresentation

A

Section 18
“Misrepresentation” defined.—“Misrepresentation” means and includes—
(1) the positive assertion, in a manner not warranted by the information of the person making it,
of that which is not true, though he believes it to be true;
(2) any breach of duty which, without an intent to deceive, gains an advantage to the person
committing it, or any one claiming under him; by misleading another to his prejudice, or to the
prejudice of any one claiming under him;
(3) causing, however innocently, a party to an agreement, to make a mistake as to the substance
of the thing which is the subject of the agreement.

23
Q

Section of voidability of agreemtns without free consent

A

Section 19
fraud or misrepresentation, the agreement is a contract voidable at the option of the party
whose consent was so caused OR they can ask for specific performance so as to make the fraudulent part actually true and thus not fraud.

24
Q

Sec 20

A

bilateral mistake

also sec13- meeting of minds on the same object in the same sense

25
Q

sec21

A

mistake of law

26
Q

Unilateral mistake

A

sec22

27
Q

section 23,24

A

legality of object and consideration and sec 24 is that if considetaron is not legal contract/agreeemnt is void.

28
Q

Section about restraint of marriage, trade and legal proceedings

A

Restraint of marriage,void-sec26
Restraint of trade-void=sec27
Restraint of Legal proceedings void-sec28

29
Q

Sec30 wager case

Subash kumar Manwani V. State of MP

A

Subash kumar Manwani V. State of MP
Does lottery come under wager?
HELD: yes since a game of chance has no skill in it, it is a wager, spending money on lottery ticket will not give u the legal opportunity to enforce a lottery.

30
Q

Contingent contract sections

A

31-36

31
Q

Explain sec 31-33

A

s31-defines contingent contract
s32- contingent contract depending on IF a future event OCCURS, and cannot be enforced unless the event occurs
s33- cont contract depending on NON OCCURANCE

32
Q

Sec34-36 contingent contract

A

Sec34- if the contingent “event” is the CONDUCT of a person.
(frost v knight)
Sec35- if contingent contract is based on occurrence of an event within a time period,
S36- contingent contract based on impossible events held void

33
Q

Quasi contracts section

A

Sec68-72

34
Q

Explain sec 68-70 with cases

A

s68- claim for necesseries provided (reimbursemnt)
Nash v Inman

S69- reimbursement for payment which is legal duty of another, but the payment of which he is interested in
Brook’s Wharf v. Goodman Brothers

S70- 70. Obligation of person enjoying benefit of non-gratuitous act
State of west bengal v BK mondal

35
Q

Explain sections related to finders obligation to goods

A

sec71-responsibility of finder of goods-
If a person finds goods belonging to another and takes them in his custody, in such a situation the person is subject to the same responsibility as a bailee
Sec169
Finder may sell goods IF
Owner cannot be found
Owner refuses after demand to pay lawful charges to the finder
Good is perishable
If the lawful charges awed to finder for safekeeping of goods are 2/3 of the original value of goods

36
Q

Sec72?

A

liability of person gainign Unjust benefit under mistake or coercion

Asadi v. Coffee Board, the plaintiff’s firm purchased coffee from the coffee board and made all the necessary payments and taxes. The coffee board demanded payment of extra payment of taxes or said that they will not return the deposit money. The plaintiff complied and filed a suit. It was held that that the plaintiff was made to make the payment under coercion and was therefore entitled to recover back the amount.

37
Q

discharge of performance

offer of performance and refudal of perfomrance

A

sec 37
sec38- promisor must offer perfomance
39- rejection of performance

38
Q

sec40,41

A

Substituted performance

39
Q

joint performance section

A

42-44

40
Q

sec44-50

A

reasonable time place for perfotrmance etc
- Sec50- performance of any promise may be made in any manner, or at any time which the promisee prescribes or sanctions.
CIT v Ogale Glass
Where the creditor desires the debtor to send the money by post, the debtor will be discharged as soon as he posts a properly addressed and stamped letter containing the money

41
Q

reciprocal promises

A

sec51-54

42
Q

restitution for frustration section?

A

s65
. Obligation of person who has received advantage under void agreement, or contract that
becomes void
bound to restore it, or to
make compensation for it to the person from whom he received it.

43
Q

remedies of breach

section 74, 75

A

damages, restitiution, reformation, recession, specific performance

Sec74- parties can predetermine the damages incase of breach to prevent litigation

Section 75:
A person who rightfully rescinds a contract is entitled to compensation for any damage which he has sustained through the non-fulfilment of the contract

A, a singer, contracts with B, to sing at his theatre for 10 days
and B engages to pay her 100 rupees for each night‟s performance. On the sixth night, A wilfully absents herself from
the theatre, and B, in consequence, rescinds the contract. B is entitled to claim compensation for the damage which he has
sustained through the non-fulfilment of the contract

44
Q

section 62,63

A

novation and recession

45
Q

breach of contract

A

sec 73 and self induced breach(repudiation) sec39