Core concepts
- 01Contract = Agreement + Enforceability by law (Sec 2(h)).
- 02Essentials: offer, acceptance, consideration, capacity, free consent, lawful object, not declared void.
- 03Offer (Sec 2(a)): proposal made with intent to obtain assent.
- 04Acceptance (Sec 2(b)): must be absolute, unqualified, communicated.
- 05Consideration (Sec 2(d)): something in return; past, present or future; need not be adequate.
Flowchart summary
Offer ---> Acceptance ---> Promise | v Consideration | v Agreement | (Lawful + Capacity + Free Consent) | v CONTRACT
Exam-critical pointers
- ⭐Stranger to contract cannot sue (privity); exceptions: trust, marriage settlement, family arrangement.
- ⭐Communication of offer complete when it comes to knowledge of offeree.
- ⭐Free consent: NOT caused by coercion, undue influence, fraud, misrepresentation, mistake (Sec 14).
- ⭐Agreement with minor is void ab initio (Mohori Bibee v. Dharmodas Ghose).
- ⭐Quasi-contract under Secs 68-72 — obligation without agreement.
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