ELEMENTS CONTRACT LAW

Consideration sec 2(d) - When at the desire of the promisor, the promisee or any other person has done or abstained from doing something or does or abstains from doing something or promises to do or abstain from doing something, such act or abstinence or promise is called a consideration for the promise.

S.10 states that every agreement is a contract if it is made by the free consent of the parties. Section 14 Contract Act 1950 stated that any parties who entered any contract consider freely if they entered it without : Coercion – Sec. 15 the committing, or threatening to commit any act forbidden by the Penal Code, or the unlawful detaining or threatening to detain, any property, to the prejudice of any person whatever, with the intention of causing any person to enter into an agreement. Undue Influence – Sec. 16 to acts committed by a party to a contract with the intent to deceive the other contracting party. Fraud – Sec. 17: fraud refers to acts committed by a party to a contract with the intent to deceive the other contracting party. Misrepresentation – Sec. 18 untrue made by a representor and that induce the other to enter into a contract. 19. (1) When consent to an agreement is caused by coercion, fraud, or misrepresentation, the agreement is a contract voidable at the option of the party whose consent was so caused. (2) A party to a contract, whose consent was caused by fraud or misrepresentation, may, if he thinks fit, insist that the contract shall be performed, and that he shall be put in the position in which he would have been if the representations made had been true. Mistake Sec. 21 - Where both the parties to an agreement are under a mistake as to a matter of fact essential to the agreement, the agreement is void.

Offer/Proposal sec 2(a) - When one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of that other person either to such act or abstinence, he is said to make a proposal. Acceptance sec 2(b) - When the person to whom the proposal is made, signifies his assent there to , the proposal is said to be accepted.

Minors who don't have the capacity to create a contract whom are under the age of 18 Section 11:- specify that every person is competent to contract provided. Is of the age of majority according to the Law which he is subject Who is of sound mind and Is not disqualified from contracting by any law to which he is subject.

2(g) provides that “An agreement not enforceable by law is said to be void”. A contract will be considered as unlawful and void if it consists of any one of the following criteria under S.24 : (i) It is forbidden by law (ii) Defeats the provision of any law (iii) Is fraudulent (iv) Implies injury to person or property of others (v) Is regarded as immoral or opposed to public policy There is no intention to create legal intention if it involves family matters

To create a binding contract the parties must express their agreement in sufficiently certain terms. What is needed is not absolute certainty but a “reasonable degree” of certainty.