Legality of Object

1. Business
legislations
Legality of object

2. Consideration
or
object
is unlawful
2
Forbidden by law
Such a nature that, if permitted, it would
defeat the provisions of any law
Fraudulent
Involves or implies injury to the person or
property of another
Court regards it is immoral
Opposed to public policy

3. Unlawful and
illegal
agreements
3
Every illegal agreement is unlawful, but every
unlawful agreement is not necessary illegal.
Agreements
opposed to
public policy
 with enemy
 Commit a crime
 Interfere with administration of justice
 Restraint of legal proceedings
 Trafficking in public offices and titles
 Opposed to duty
 Restraints of parental rights, marriage, trade
 Restricting personal liberty

4. Void
Agreements
4
1. Agreements by incompetent parties (See. 11).
2. Agreements made under a mutual mistake of fact (Sec.
20).
3. Agreements the consideration or object of which is
unlawful (Sec. 23).
4. Agreements the consideration or object of which is
unlawful in part (Sec, 24).
5. Agreements made without consideration (Sec. 25)
6. Agreements in restraint of marriage (Sec. 26).
7. Agreements in restraint of trade (Sec. 27).
8. Agreements in restraint of legal proceedings (Sec. 28).
9. Agreements the meaning of which is uncertain (Sec.
29).
10. Agreements by way of wager (Sec. 30).
11. Agreements contingent on impossible events (Sec. 36)
12. Agreements to do impossible acts (Sec. 56)
13. In case of reciprocal promises to do things legal and also
other things illegal, the second set of reciprocal
promises is a void agreement (Sec. 57).

5. Wagering
agreement
5
A wager is an agreement between two parties
by which one promises to pay money or
money's worth on the happening of some
uncertain event in consideration of the other
party's promise to pay if the event does not
happen.Thus if A and B enter into an
agreement that A shall pay B R 100 if it rains on
Monday, and that B shall pay A the same
amount if it does not rain, it is a wagering
agreement.

6. Void
contracts
6
1. A contingent contract' is a contract to do or not to do something, if
some event, collateral to such contract does or does not happen (Sec.
31).
Example. A contracts to pay B a sum of money when B marries C. C
dies without beingmarried to B.The contract becomes void.
2. A voidable contract becomes void when the party whose consent is
not free repudiates the contract.
Example. A, by misrepresenting certain facts to B, enters into a
contract with B. B comes to know of the misrepresentation and
repudiates the contract. When B repudiates the contract, it becomes
void.
3. A contract becomes void by supervening impossibility or
illegality(Sec. 56, para 2).
Example. A contracts to take in cargo for B at a foreign port. A's
Government afterwards declares war against the country in which the
port is situated.The contract becomes void when war is declared.

7. Consideration
or
object
is unlawful
7
A contract may be man absolute contract, or
a contingent contract,
An absolute contract is one in which the promisor binds himself to performance in
and event without any conditions.
Contingent means that which is dependent on something else A contingent
contract is a contract to do or not to do something if some event, collateral to such
contract, does or does not happen (Sec. 31) Example. (a) A contracts to pay Rs.
10,000 it's house is burnt.This is a contingent
There are three essential characteristics of a contingent contract
 Its performance depends upon the happening or non happening in future of
some event
 The event must be uncertain. If the event is bound to happen and the contact
has got to beperformed in any case, it is not a contingent contract.
 The event must be collateral
Example. There was a contract for the sale of American parachute cloth by A to B
The goods were to be delivered when they arrived. A falled to give delivery and I
sued for damages for breach. A pleaded that the contract was a conditional one
and as the goods had not arrived he had no obligation to give delivery. Hell, the
contract was an absolute one and the obligation of A was not contingent upon the
arrival of the goods