Business
Promise/(s) Promise/(s)
= Agreement
(in exchange for)
Promise?
Section 2(b)
Promise = Proposal/Offer + Acceptance
Proposal?
Section 2(a)
Expression of willingness
With a view to seek the assent of the other
Thus, mere expression of willingness doesn’t
constitute offer/proposal.
Acceptance
Section 2(b)
Giving of assent to the proposal.
Enforceability by Law
Agreements which are not enforceable
Illegal/unlawful agreements, e.g., to
smuggle/to kill
Social Agreements (Balfour vs. Balfour)
Agreements Declared Void
under ICA
e.g.
Agreement with or by a minor
Agreement in restraint of trade
Marriage brokerage contract
Wagering/Betting Agreements
CLASSIFICATION OF
CONTRACTS
1. Classification according to validity or
enforceability.
Valid
Voidable
Void contracts or agreements
Illegal.
Unenforceable
CLASSIFICATION OF CONTRACTS (con…)
(SECTIONS 73-75)
As soon as either party commits a breach of the contract, the
other party becomes entitled to any of the following reliefs: -
Recession of the contract
b) Damages (monetary compensation)
c) Specific performance
d) Injunction