Category Archives: Contract Law

Contract Law is the law of contracts and deals with the legal requirements to be followed while making a contract. We at Legal Bites provide you with study material on Contract Law to help you understand all the important concepts of the subject.

Doctrine of Frustration | Explained

The Doctrine of Frustration is an English contract law doctrine that acts as a device to set aside contracts where an unforeseen event either renders contractual obligations impossible or radically changes the party’s principal purpose for entering into the contract. The doctrine of frustration is based on the maxim Lex non cogit ad Impossibilia. This signifies that the……...

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Important Doctrines/Principles under Contract Law

This article titled ‘Important Doctrines/Principles under Contract Law’ deals with various important doctrines and principles used in Contract Law along with brief descriptions. Important Doctrines/Principles under Contract Law 1. Doctrine of Consideration The doctrine of consideration can be found in Section 2(d) of the Indian Contract Act and is one of the most important doctrines of contract law. This doctrine……...

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Restraint of trade | ‘A’, a Doctor, employed another Doctor ‘B’ as assistant for a period of 3 years on a salary of Rs. 3,000/- per mensem. There was an agreement between ‘A’ & ‘B’ which provided that after the termination of his employment, ‘B’ shall not practice as a Doctor… ‘A’, thereupon, sued ‘B’ for the recovery of Rs. 50,000/-. Decide.

Question: Restraint of trade | ‘A’, a Doctor, employed another Doctor ‘B’ as assistant for a period of 3 years on a salary of Rs. 3,000/- per mensem. There was an agreement between ‘A’ & ‘B’ which provided that after the termination of his employment, ‘B’ shall not practice as a Doctor within a radius of 3 km……...

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Performance of the contract | A contract is a contract from the date it is made and not from the date on which its performance is due’. Discuss with reference to statutory provisions and case law.

Question: Performance of the contract | A contract is a contract from the date it is made and not from the date on which its performance is due’. Discuss with reference to statutory provisions and case law. Find the answer to the mains question only on Legal Bites. [Performance of the contract | A contract is a contract……...

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“The essential idea upon which the doctrine of Frustration is based is that of the impossibility of performance of the contract, in fact, impossibility and frustration are often used as an interchangeable expression.” Discuss. A Person entered into service… breach of contract. Is he liable?

Question: “The essential idea upon which the doctrine of Frustration is based is that of the impossibility of performance of the contract, in fact, impossibility and frustration are often used as an interchangeable expression.” Discuss. A Person entered into service as a manager for ten years and undertook not to take up any professional engagement without the consent……...

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Absolute restriction | “Every agreement, by which any party thereto is restricted absolutely from enforcing his rights under or in respect of any contract, by the usual legal proceedings in the ordinary tribunals, or which limits the time within which he may thus enforce his rights is, void to that extent.” Examine this statement in light of Section 28 of the Indian Contract Act, 1872.

Question: Absolute restriction | “Every agreement, by which any party thereto is restricted absolutely from enforcing his rights under or in respect of any contract, by the usual legal proceedings in the ordinary tribunals, or which limits the time within which he may thus enforce his rights is, void to that extent.” Examine this statement in light of……...

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Personal contract | Naresh engaged Mr. Vinay a well-known painter to paint a picture depicting a particular design for him. Naresh agreed to pay a sum of Rs. 10,000/- as professional charges to Mr. Vinay. After completion of work… Mr. Vinay filed a suit for recovery of Rs. 10,000/- in civil court. Decide.

Question: Personal contract | Naresh engaged Mr. Vinay a well-known painter to paint a picture depicting a particular design for him. Naresh agreed to pay a sum of Rs. 10,000/- as professional charges to Mr. Vinay. After completion of work, it was revealed that an assistant of Mr. Vinay painted the picture but under the guidance and supervision……...

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What do you understand by anticipatory breach of contract? M/s XYZ Textile enters into a contract with ABC Garment Showroom for the supply of 1000 pieces of cotton shirts at Rs. 400/- per shirt to be supplied on or before 31st December 2015. Later on… Discuss the remedies available to ABC Garment Showroom.

Question: What do you understand by anticipatory breach of contract? M/s XYZ Textile enters into a contract with ABC Garment Showroom for the supply of 1000 pieces of cotton shirts at Rs. 400/- per shirt to be supplied on or before 31st December 2015. Later on, on 1st November 2015, XYZ Textile informs ABC Garment Showroom that they……...

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Restraint of trade | A forfeiture clause in the employment contract provides that “if a person engages in a competing business/service within two years period after leaving the company… Whether the clause is enforceable or is violative of Section 27 of the Indian Contract Act?

Question: Restraint of trade | A forfeiture clause in the employment contract provides that “if a person engages in a competing business/service within two years period after leaving the company, the outstanding incentive amount due to him can be forfeited”. Whether the clause is enforceable or is violative of Section 27 of the Indian Contract Act? [DJS 2018]……...

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Section 40 | Defendant, a female, agreed to pay Rs. 5000/- to the plaintiff in consideration of the latter having the former trained in the art of singing and dancing at his own cost. It was found that the plaintiff’s sister… How would you decide on the controversy?

Question: Section 40 | Defendant, a female, agreed to pay Rs. 5000/- to the plaintiff in consideration of the latter having the former trained in the art of singing and dancing at his own cost. It was found that the plaintiff’s sister and not the plaintiff himself had rendered those services. In a suit for recovery of the……...

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