Indian Contract Act 1872

Question 1

Offer/Proposal

Answer 1

Sec 2 (a), When a person signifies his willingness to another to do or abstrain from doing something to obtaining the assent of the other to such act or abstinence he is said to made a proposal

Question 2

Promise

Answer 2

Sec 2(b), When the person to whom the proposal is made signifies his assent thereto the proposal is said to be accepted. A proposal when accepted become a promise.

Question 3

Agreement

Answer 3

Sec 2(e), Every promise and every set of promises forming consideration for each other is an agreement

Question 4

Contract

Answer 4

Sec 2(h), An agreement with enforceability is a contract

Question 5

Parties

Answer 5

Sec 2(c), Promisor- Maker of proposal
Promisee- Accepter of proposal

Question 6

Consideration

Answer 6

Sec 2(d), When at the desire of the promisor, Promisee or any other person has done or abstraned from doing, does or abstains from doing, promises to do or abstain from doing something, such act or abstinence is consideration to a promise

Question 7

Essential elements of a valid Contract

Answer 7

2 parties
Proper offer and proper acceptance with ITCLR
Lawful consideration and lawful object
Capacity to contract
Free consent
Certainty of Meaning
Possibility of performance
Agreement not declared void/ illegal
Necessary legal formalities

Question 8

Classification of Contract

Answer 8

Validity
> Valid contact
> Void Contract
> Void Agreement
> Voidable Contract
> Illegal Agreement
>Unenforceable Contract
Formation
>express (by words)
>implied (without words)
Tacit - Conduct
Quasi- Operated by law
Performance
> Executed (done)
> Executory (to do)

Question 9

Essentials of a valid Offer