ppt presentation on VOID Agreement

1. by-
Thakur College
FYBMS/D/9051
Abhishek Mishra

2. Content
Void Agreement
Unenforceable Agreement
Illegal Agreement
What is Fraud
Unilateral Mistake
Mutual Mistake
When can a minor disaffirm a voidable contract?

3. Void Agreement
Void Agreement :
A void agreement has no legal bearing, and is unenforceable by law.
Parties to a voided agreement have no responsibility or legal
requirement to act as far as carrying out the terms of the agreement.
• In which cases a contract can be void?
 Lack of capacity.
Mutual mistake of fact.
Unlawful consideration or object.
Agreements without consideration.
Agreements in restraint of trade.
Uncertain Agreement.
Impossible acts.
Agreements contingent on impossible event.

4. Unenforceable Agreement
Unenforceable Agreement :
An agreement which cannot be enforceable in the
court of law because of technical defects are called
unenforceable agreements.
Example :
Agreements which is made without registration or
non-payment of necessary stamp duty.

5. Illegal agreement
Illegal agreement:
An illegal agreement, under the common law of contract, is one that
the courts will not enforce because the purpose of the agreement is to
achieve an illegal end. The illegal end must result from performance of
the contract itself.
Example :
• agreements to commit crimes or torts
• agreements that obstruct legal procedures
• agreements that injure public service
• agreements made without required license
• agreements that restrain trade unreasonably

6. What is Fraud?
Fraud:
False representation or concealment of a material fact all of
the following elements must be present for fraud to exist.
The person making the false representation
must know it is false or make it recklessly
without regard to its possible falsity.
The misrepresentation must be made with
the intention of influencing the other person
to act upon it.
The misrepresentation or concealment must
induce action and cause injury to the other party.

8. Two types of mistakes-
Unilateral mistake
One of the parties has an erroneous idea about the facts of a
contract.
For example :- in a contract for the sale of screws, one party may
incorrectly believe that the word “screw” refers to Phillips-head
screws, when in fact the term refers to standard-type screws. If only
one party holds this mistaken belief, but the other is clear on the
meaning of “screw”, then this could be called a unilateral mistake.
On the other hand, if both parties believed that the word “screw”
referred to nails, then this is an example of a mutual mistake.
Unilateral mistakes also frequently involve prices, quantities, dates,
and the description of goods or services.

9. Mutual mistake or bilateral mistake
Both parties are wrong about some important facts
For example :- a customer goes to the sample room of an interior
decorator to select a carpet and asks the clerk to show him a navy
carpet, which he subsequently purchases and takes with him. The sales
slip notes that the carpet purchased is navy. When, upon examining
the carpet in daylight, the customer discovers that it is black, not navy
as he thought when he bought it, a mutual mistake would have
occurred, since both the seller and buyer were in error concerning the
correct color of the carpet sold. Since there had never been a true and
complete meeting of the minds, no mutual assent was actually arrived
at, and the buyer would be entitled to return the carpet and obtain a
full refund.

10. When can a minor disaffirm a voidable contract?
A minor can disaffirm a voidable contract any
time while still a minor or within a reasonable
time after reaching majority
After reaching majority, a person may ratify a
voidable contract made while a minor
Ratification the approval of a voidable contract
in its entirety