Indian Contract Act, 1872 — One-Pager Cheat Sheet

 

📘 Indian Contract Act, 1872 — One-Pager Cheat Sheet

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✅ Basic Details

• Enacted: 25 April 1872

• Effective: 1 September 1872

• Scope: Applies to whole of India (except J&K pre-2019)

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🔑 Key Concepts

Term	Meaning
Proposal/Offer	Willingness to do/abstain (S.2(a))
Acceptance	Assent to proposal (S.2(b))
Promise	Accepted proposal (S.2(b))
Agreement	Set of promises (S.2(e))
Contract	Agreement enforceable by law (S.2(h))
Voidable contract	Enforceable until rescinded (S.2(i))
Void contract	Ceases to be enforceable (S.2(j))

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⚙ Essential Elements of a Valid Contract (S.10)

✅ Offer & acceptance
✅ Lawful consideration
✅ Competent parties (S.11)
✅ Free consent (S.13–19)
✅ Lawful object (S.23)
✅ Not expressly void

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🚫 Void & Voidable

Void	Voidable
Illegal object, wagering, restraint (S.23–30)	Consent obtained by coercion, fraud, misrep.

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🔧 Special Contracts

• Contingent Contracts (S.31–36) → depend on uncertain future events

• Quasi-Contracts (S.68–72) → no agreement but obligations imposed by law

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💥 Breach & Remedies

Section	Remedy
S.73	Compensation for loss/damage
S.74	Compensation when penalty stipulated
S.75	Compensation when rescinding contract lawfully

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🏛 Key Case Laws

• Mohori Bibee v. Dharmodas Ghose → minor’s contract void

• Carlill v. Carbolic Smoke Ball Co. → general offer, acceptance

• Hadley v. Baxendale → remoteness of damages

• Balfour v. Balfour → intention to create legal relations

• Lalman Shukla v. Gauri Dutt → acceptance, communication

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📝 Quick Rules

• Communication complete:
  Offer → when reaches offeree
  Acceptance → when posted (for proposer), when received (for acceptor)

• Consideration:
  Must be something of value, can move from promisee or any other person.

• Consent free if:
  No coercion, undue influence, fraud, misrepresentation, mistake.

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📌 Cheat Summary

Section Range	Content
1–2	Title, definitions
3–9	Offer, acceptance, revocation
10–30	Essentials, void agreements
31–36	Contingent contracts
37–67	Performance, discharge
68–72	Quasi-contracts
73–75	Breach, remedies