Voidable Agreement Legal Meaning

Section 15 of the Act states that “coercion” is the commission or threat of acts prohibited by the Indian Penal Code (45 of 1860), or unlawful detention or threat of possession of property to the detriment of a person, for the purpose of getting a person to enter into an agreement. A countervailable contract is initially considered legitimate and enforceable, but may be rejected by a party if it is established that the contract is deficient. If a party with the right to reject the contract decides not to reject the contract despite the defect, the contract remains valid and enforceable. In most cases, only one of the parties is affected by the approval of a countervailable contract in which that party does not acknowledge the misrepresentation or fraud of the other party. It was held by Orissa HC in a case where the plaintiff was the defendant`s lawyer in previous litigation and the defendant asked him for money. It must be held that the applicant was able to control the will of the defendant client. As a result, the client`s agreement in favour of the plaintiff lawyer was annulled by Orissa HC, as if it were tainted by unlawful influence.[10] Pass your article via our online form Click here Note* We only accept original articles, we do not accept any article that has already been published on other sites. For more details, please contact: editor@legalserviceindia.com After a thorough analysis of all the sections, it can be seen that the Indian Contract Act contains sufficient provisions that fully govern the different types and forms of countervailable agreements, which constitute prima facie a valid agreement. Unlike an inconclusive contract, a countervailable contract is a valid contract which, at the option of one of the parties, can either be confirmed or rejected. A part at most equal is related. The unrelated party may reject (refuse) the contract on the date on which the contract becomes void. Section 62 of the Indian Contract Act allows the party to easily terminate the contract under which the party is no longer obliged to perform the contract.

[25] A countervailable contract can now be cancelled. This is because challenging a contract gives a party the opportunity to resign. A transaction in which a party participated as an inducement may be cancelled. The incitement may be due to coercion or undue influence. The created person thus obtains the right of withdrawal not only against the person who exercises coercion, but also against the party that knows that the coercion or influence has been exercised. [26] This will also be reinforced in the event that an agreement has been reached to finance the dispute. Subsequently, when the other party refused to pay the full amount, the court awarded damages under this section. [29] The repayment obligation is therefore imposed when an agreement is countervailable. Because it does not apply to cases where the agreement is niged from the beginning. [30] In general, the words consent, compliance and satisfaction were used. The parties accept something pending a right to appeal.

[1] The Indian Contracts Act defined the agreement as follows: if a clause in a contract is not understood in the same sense by the other party, this would void the agreement from the outset, even if the discovery of this fact occurs later.[1] . . .