The Path to a Greener Future: Understanding Sustainable Development In an era where environmental challenges and resource depletion are becoming increasingly evident, the concept of sustainable development has gained significant importance. Sustainable development aims to meet the needs of the present without compromising the ability of future generations to meet their own needs. This blog post will explore the principles, goals, and strategies of sustainable development, highlighting its critical role in ensuring a balanced and healthy future for our planet. "Transforming our world: The path to sustainable development." What is Sustainable Development? Sustainable development is a holistic approach that integrates economic growth, environmental protection, and social equity. It seeks to create a harmonious relationship between human activities and the natural world, ensuring that resources are used efficiently and responsibly. Definition: The most widely recognized de...
Introduction:
The Indian Contract Act is divisible into two parts. The first part from section 1-75 deals with the general principles of the law of contracts, and therefore applies to all types of contracts irrespective of their nature. The second part from section 124 – 238 deals with special types of contracts namely Indemnity and Guarantee, Bailment and Pledge, Agency etc.
Meaning of Law of contract:
Law of contract is the most important and basic part of Mercantile Law. It is the foundation for many other laws falling in the category of Mercantile Laws. It is not only the merchant or trader but every person who lives in the organized society, consciously or unconsciously enters into contracts form sunrise to sunset.
For example: A person buys a computer or hires a taxi, or goes to the video library to buy a video cassette or takes a credit card from a bank or gives loan to another or he does booking for an orchestra/DJ for marriage party etc. Such contracts create legal relation giving rise to certain rights and obligations.
Nature of Law of Contract:
The law of contract is that branch of law which determines the circumstances in which a promise or an agreement shall be legally binding on the person making it. As contracts are the basis of most of the business transactions, the law of contract is of great significance to all business people engaged in commercial activities. It is the foundation of not only the business world but of the whole civilized world.
Meaning of Contract:
A contract is an agreement to do or not to do an act. It is a legally binding agreement, which is enforceable at law.
Definition of Contract:
Section 2 (h) of the Contract Act defines a contract as “an agreement enforceable by law.”
Salmond says, “Contract is an agreement creating and defining obligations between the parties”.
Sir Fredrick Pollock says, “Every agreement and promise enforceable at law is a contract.”
Thus, there are two essential elements of a contract:
1. An Agreement.
2. Enforceable at law.
These two components together constitute the basis of a contract
Contract = Agreement + Enforceable by law
1. An Agreement: According to Sec 2(e) of Indian Contract Act, “Every Promise and every set of promises forming the consideration for each other, is an Agreement."
For example: A agrees to pay Rs 100 to B and B agrees to give him a book costing Rs 100.
This is a set of promises which forms consideration for each other and hence is an Agreement.
i) Promise: A promise is defined in sec 2 (b) as, “a proposal when accepted becomes a promise”. The person making the proposal is called “Promisor”, and the person accepting the proposal is called as “Promisee”
For example: Mr. B invites his friend Mr. C to come and stay with him for a week. Mr. accepts the invitation Here Mr. B’s invitation is duly accepted by Mr. C.
Hence, An Agreement involves proposal or offer by one party and acceptance of the same by the other party.
An Agreement = Offer + Acceptance
2. Enforceable by law: An agreement to become a contract must give rise to a legal obligation. The common acceptance formed and communicated between the two parties must create legal relations and not just the relations that are purely social or domestic in nature.
For example: Mr. Mukesh invites Mr. Vijay to a dinner at his house. Mr. Vijay accepts the invitation. It is purely social agreement. So if Mr. Vijay fails to arrive at the dinner or Mr. Mukesh has to go out due to some important work, either of the parties cannot sue other for not fulfilling the promise.
Other kind of obligations which of not constitute a contract are those agreements made between husband and wife as such agreements are purely domestic and are not intended to create legal relation.
The Leading case Balfour v/s Balfour (1919)
Mr. Balfour was employed in Ceylon. Mrs. Balfour owing to ill health had to stay in England and could not accompany him to Ceylon. Mr. Balfour promised to send her £30 per month, while he was in abroad. But Mr. Balfour failed to pay that amount. So Mrs. Balfour filed a suit against her husband for recovering the said amount.
The court held that it was a mere domestic agreement and that the promise made by the husband in this case was not intended to be a legal obligation.
So if the parties specify that the parties intend to create a legal relationship through it, even an agreement between husband and wife will be legally enforceable.
On the other hand, if the two parties rule out legal obligation expressly, the agreement will not be enforceable though it may be a trade agreement.
Therefore, "All Contracts are Agreements but All Agreements are not Contracts."
Comments
Post a Comment