Meaning and nature of contract: the Act, agreement and contract, essentials of a valid contract, kinds of contracts

LUG-103 Law of Contract including Specific Relief Act & Sale of Goods Act, Unit I: Meaning and nature of contract. · LLB · 60 min

The opening lecture of the course. It places the Indian Contract Act, 1872 in its history and explains what it covers, then builds the ladder of definitions in s. 2 - proposal, promise, consideration, agreement, contract - and the test of s. 10 for which agreements the law will enforce. It closes with the classifications examiners ask for every year: by enforceability (valid, void, voidable, illegal, unenforceable), by formation (express, implied, quasi) and by execution (executed, executory, unilateral, bilateral).

Objectives

Explain the object, scope and scheme of the Indian Contract Act, 1872 and what it leaves to other statutes
Define proposal, promise, promisor, promisee, consideration, agreement and contract from s. 2 and show how one becomes the next
Explain why all contracts are agreements but not all agreements are contracts
Apply s. 10 to decide whether an agreement is a contract, listing each essential element
Distinguish valid, void, voidable, illegal and unenforceable agreements, and express, implied, quasi, executed, executory, unilateral and bilateral contracts

Slides

The Act of 1872: history, object and scope
The ladder of definitions in s. 2: proposal, promise, agreement, contract
From proposal to contract: the four conditions (2023-24 Q4(a))
All contracts are agreements, but not all agreements are contracts
Section 10: what agreements are contracts
Kinds of contracts by enforceability: valid, void, voidable
Illegal and unenforceable agreements; void v illegal
Kinds by formation: express, implied and quasi-contracts (s. 9)
Kinds by execution: executed, executory, unilateral, bilateral
Other classifications and the relation to other laws
How the examiner asks it

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