TYPES OF CONTRACTPresented ByVIGNESH K Classification of Contracts VALID CONTRACT (section 10 ) A contract coming out from a void agreement is a void contract. A contract becomes void when it ceases to be enforceable by law. To attain Validity the Contract should have certain features like consensus ad idem, Certainty, free consent, two directional consideration, fulfilment of legal formalities, legal obligations, lawful object, capacity of parties, possibility of performance, etc. Void Contract 2(j) A Contract which is not enforceable in a court of law is called Void Contract. If a Contract is deficient in any one or more of the above features (Except free consent and legal formalities). A Contract which is deficient in only free consent, is called Voidable Contract. That means it is a Contract which is made under certain pressure either physical or mental. At the option of suffering party, a voidable contract may become either Valid or Void in future ILLEGAL CONTRACT An illegal agreement is one which criminal in nature or which is immoral or which is against public policy. “Legal to sell guns/cutters BUT Illegal to kill someone” UNENFORCEABLE CONTRACT A contract which has not properly fulfilled legal formalities is called unenforceable contract. That means unenforceable contract suffers from some technical defect like insufficient stamp etc. After rectification of that technical defect, it becomes enforceable or valid contract. UNILATERAL CONTRACT If considerations is to be moved in one direction only after the Contract, it is called Unilateral Contract BILATERAL CONTRACT If considerations in both directions are to be moved after the contract, it is called Bilateral Contract. EXECUTED CONTRACT EXECUTORY CONTRACT In case where contractual obligations are to be performed in future, it is called executor contract. EXPRESS CONTRACT IMPLIED CONTRACT The Contracts where there is no expression are called implied contracts. Sitting in a Bus can be taken as example to implied contract between passenger and owner of the bus. QUASI CONTRACT (Sections 68 to 72) Questions The Indian Contract Act came into force on? 1st Sep ,1872 15th Sep,1872 1st Oct,1872 15th Oct,1872 Sarah purchases a car when she is a 15-year-old from OK Motors Inc. Sarah's contract is _____. 1.valid 2.void 3.voidable 4.unenforceable Valid Contract Void Contract Voidable contract Unenforceable contract Illegal contract Unilateral Contract Bilateral contract Executed contract Executory contract Express Contract Implied contract Quasi contract THANKS! Any questions?