8/10/2019 Week+2+Contract

1/16

Important features of Contract

Minimum two Parties

Competent PartiesMajority, Sound Mind, Coercion, etc.

Offer and Acceptance Intention

ConsiderationIt can be past, present or future. Valid only if it is legal.

Free Consent.Not under coercion, misrepresentation, mistake, etc

Lawful Object..It must not be illegal, immoral, or opposed to publicpolicy.

Void.Restraint of trade or wagering are not enforceable

8/10/2019 Week+2+Contract

2/16

Important features of Contract

Certainty and possibility of performance.

Legal formalities. Demanding bus ticket, receipt of purchasesindicates clear legal transactions

Dr. Kiran Gardner: Module

leader

2

8/10/2019 Week+2+Contract

3/16

8/10/2019 Week+2+Contract

4/16

Capacity to Contract

Minor versus age of majority.Minors benefit it is valid

Sound mind

Insolvent

Dr. Kiran Gardner: Module

leader

4

8/10/2019 Week+2+Contract

5/16

Free Consent

Coercion

Undue influence Fraud

Misrepresentation

Mistake

Dr. Kiran Gardner: Module

leader

5

8/10/2019 Week+2+Contract

6/16

8/10/2019 Week+2+Contract

7/16

8/10/2019 Week+2+Contract

8/16

Quasi Contr act

Supply of necessaries

Payment by an interested person

Obligation to pay for non-gratuitous acts.

Responsibility of finder of goods

Mistake or Coercion

Quantum meruit

Dr. Kiran Gardner: Moduleleader

8

8/10/2019 Week+2+Contract

9/16

Remedies for Breach of Contract

Rescission

Damages Quantum meruit

Specific Performance

Injunction

Rectification

Dr. Kiran Gardner: Moduleleader

9

8/10/2019 Week+2+Contract

10/16

Dr. Kiran Gardner: Module leader 10

Difference between indemnity and surety

8/10/2019 Week+2+Contract

11/16

Dr. Kiran Gardner: Module leader 11

Comparison between Bailment and Pledge

8/10/2019 Week+2+Contract

12/16

Dr. Kiran Gardner: Module leader12

Dispute resolution -Breach of contr acts

When a there is a breach of contract the following

remedies are available to the aggrieved party:

Claim for liquidated damages

File a suit for specific performance under the SpecificRelief Act 1963

Arbitration under the Indian Arbitration and

Conciliation Act 1996

Mediation

8/10/2019 Week+2+Contract

13/16

8/10/2019 Week+2+Contract

14/16

Dr. Kiran Gardner: Module leader14

Rights and duties of Agent

To conduct the business as per the directions of the Principal

To exercise reasonable care

To maintain proper account

He can keep a lien on goods to recover his dues.

The principal has to give imprest amount to the agent to

conduct the business

8/10/2019 Week+2+Contract

15/16

8/10/2019 Week+2+Contract

16/16

Dr. Kiran Gardner: Module leader 16