Section 420 IPC: Why India’s Cheating Clause is Trending Now
Section 420 IPC: Cheating Law Explained with Real Cases and Latest Updates Synopsis (Index) What is Section 420 IPC? 420. Cheating and dishonestly inducing delivery of property.— Whoever cheats and thereby dishonestly induces the person deceived to deliver any property to any person, or to make, alter or destroy the whole or any part of […]
Explain Consideration with Reference to Decided Cases
Explain Consideration with Case Law Synopsis (Index) Introduction Consideration is one of the essential elements of a valid contract under the Indian Contract Act, 1872. It is often called the “price for a promise”. Without consideration, a contract is generally void, except in certain special cases recognized by law. Definition of Consideration (Section 2(d)) According […]
Agreement in Restraint of Trade is Void
Agreement in Restraint of Trade is Void Synopsis Introduction Section 27 of the Indian Contract Act, 1872, declares agreements in restraint of trade void, upholding the common law principle that every person has the right to pursue any lawful trade or profession, protecting individual freedom and promoting competition. Section 27 of the Indian Contract Act, […]
Legal Effects of Acceptance
Legal Effects of Acceptance Synopsis Legal Effects of Acceptance 1. Creation of a Binding Agreement (Section 2(b)) Section 2(b) of The Indian Contract Act: “When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. A proposal, when accepted, becomes a promise.” Key Effect: Acceptance establishes […]
Essential Elements of a Valid Acceptance
Synopsis Introduction In a contract, acceptance is the second fundamental element after the offer (proposal). A proposal, when accepted, becomes a promise. Without valid acceptance, no enforceable contract arises. Definition of Acceptance (Section 2(b)) Section 2(b) of The Indian Contract Act states: “When the person to whom the proposal is made signifies his assent thereto, […]
Define Acceptance
Define Acceptance According to Section 2(b) of the Indian Contract Act, 1872: “When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. A proposal, when accepted, becomes a promise.” Communication of acceptance is complete under section 4 of The Indian Conteract Act: Acceptance by conduct […]
Difference between Fraud and Misrepresentation
Difference between Fraud and Misrepresentation Basis Fraud (Sec. 17) Misrepresentation (Sec. 18) 1. Intention Made knowingly, intentionally, or recklessly to deceive. Made innocently without any intent to deceive. 2. Knowledge of Falsehood The person knows the statement is false. The person believes the statement to be true. 3. Effect on Contract The contract is voidable […]
Definition of Misrepresentation
Definition of Misrepresentation Section 18 of The Indian Contract Act defines Misrepresentation: “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 […]
Definition of Fraud
Definition of Fraud Section 17 of The Indian Contract Act defines Fraud: “Fraud” means and includes any of the following acts committed by a party to a contract, or with his connivance, or by his agent, with intent to deceive another party thereto of his agent, or to induce him to enter into the contract:— […]
Classification of Contract
Classification of Contract Synopsis Classification of Contracts under the Indian Contract Act, 1872 Introduction According to Section 2(h) of the Indian Contract Act, 1872: “An agreement enforceable by law is a contract.” All contracts are agreements, but all agreements are not contracts. Contracts can be classified for easier understanding of their enforceability, formation, and performance. […]