CASE STYDY AND BASIC KNOWLEDGE OF INDIAN CONTRACT ACT, 1872

1. Case Study Related to INDIAN Contract Act,1872
MBA I Year
By :
MUKUL TYAGI
CLASS ROLL. 61
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2. Content
Contract
Agreement
Promise
Essential Elements OF A VALID Contract(Sec.10)
Type of contract
Case study related to ICA,1872
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3. THE INDIAN
CONTRACT ACT,
1872
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4. CONTRACT
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5. CONTRACT - According to sec.2(h), a contract is
defined as an agreement enforceable before the law.
AGREEMENT - According to sec.2(e), every promise or
set of promises forming consideration for each other.
PROMISE - According to sec.2(b), when a person
made a proposal to another to whom proposal is made,
if proposal is assented there to.
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6. OFFER - According to Sec.2(a), when a person made a
proposal, when he signifies to another his willingness to do
or to abstain from doing something.
AGREEMENT = OFFER + ACCEPTANCE
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7. Agreement Legal Obligation
Contract
“All contracts are agreements but all agreements are
not
contracts.”
CONTRACT = AGREEMENT + ENFORCIBILITY BEFORE
LAW
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8. ESSENTIAL ELEMENTS OF A VALID
CONTRACT (Sec.10)
1.Offer & acceptance.
2.Intention to create legal relationship.
3.Consensus - ad - idem.
4.Consideration.
5.Capacity to contract.
6.Free consent.
7.Legality of object.
8.Possibility of performance.
9.Writing & registration.
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9. TYPES OF CONTRACTS
VALID CONTRACTS
Absolute contract
Contingent contract(Sec. 31-36)
Express contract
Implied/Quasi contract(Sec.68- 72)
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10. Valid contract - If all the condition are fulfilled it is called
as a valid contract.
Contingent contract - In a contract to do or not to do
something, if an event is collateral, does or doesn't
happen.
Express contract - When contracts are either in writing or
in oral.
Implied contract - When contracts are neither in writing
nor in oral.
Absolute contract - A contract which is not dependent on
fulfillment of any condition.
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11. Indian Contract Act. 1872
Lalman Shukla
VS
Gauri Dutt
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12. There are 3 main characters in
this case
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13. About the case
One day
Nephew
went missing
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14. Lalman Shukla (The servant) went
for the search
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15. Gauri Dutt announced an offer
Whoever finds her
nephew will be given a
reward of RS. 500
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16. Suddenly after sometime Lalman
Shukla brought back nephew
home
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17. Lalman Shukla came to know
about the offer and asked for the
reward
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18. But Gauri Dutt refused to give the reward of RS.
500 to Lalman Shukla
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19. Continued
Looking at this Lalman Shukla went to the court
of law and filed a suit against Gauri Dutt
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20. Now Question Arises
Is it a Contract ?
Is Gauri Dutt liable
to pay the Reward ?
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21. What is a Contract ?
Offer + Acceptance =
Agreement
Agreement + Enforceable by
Law = Contract
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22. Let us know the answer now
Gauri Dutt is not liable to pay the reward as it is
not a Contract
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23. Judgement
According to Indian Contract Act 1872, Lalman
Shukla is not liable to receive the reward as he did not
accept the offer given by Gauri
Dutt
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