Law of Contract

Paper Code: 
COM 103
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

The Objective of this course is to acquaint the students with the concepts of contract and agreement and help them learn to differentiate between them. The course will help them understand the effects of different types of contracts

9.00
Unit I: 
Introduction

Introduction to Contract: Meaning of contract, Important definitions (Sec.2a to Sec. 2j), Valid essentials of contract, Difference between agreement and contract, Classification of Contracts
Proposal: Meaning of proposal, types, legal rules as to the offer, Invitation to proposal, Intention of proposal
Acceptance: legal rules, communication of offer and acceptance, revocation of acceptance.

9.00
Unit II: 
Contractual capacity

Contractual capacity: Meaning, Minors (effects of minor’s agreements), Person of unsound mind (Meaning, types and effects), Persons disqualified by laws.
Free consent: Consent, consensus ad idem, Coercion: Meaning, valid essentials, effects. Undue influence: Meaning, essential elements, effects.
Fraud: Meaning, essential elements, effects, silence as fraud, exceptions. Misrepresentation: Types, effects.
Mistake: Meaning, classifications (mistake of law and mistake of facts), effects.
Consideration: Meaning, legal rules, contract without consideration is void, Doctrine of privity of contract and exceptions.

9.00
Unit III: 
Legality of object and consideration

Legality of object and consideration: Circumstances when object and consideration considered unlawful, Agreement opposed to public policy.
Void agreements: Meaning, Types.
Contingent contracts: Meaning, Valid essentials, Rules as to the enforcement of contingent contract, Difference between wagering agreement & contingent contract.

9.00
Unit IV: 
Performance of contract

Performance of contract: Meaning, Modes of performance, Types of tender or offer, Essentials of a valid tender, Time as essence of contract, Person entitled to demand performance, Time, Place and Manner of performance, Appropriation of payments.
Discharge of contract: Meaning and modes of discharge of contract, types of breach of contract.
Remedies for breach of contract: Suit for rescission of contract, suit for damages, suit for quantum meruit, suit for specific performance, suit for injunction.

9.00
Unit V: 
Quasi Contract

Quasi contract: Meaning and kinds.

Specific Contracts:
Contract of Indemnity: Meaning, valid essentials, rights of indemnifier and indemnity holder.
Contract of Guarantee: Meaning, valid essentials, “is guarantee a contract of uberrimaefidei”, extent of surety’s liability, kinds of guarantee, rights of surety, discharge of surety from liability

Essential Readings: 

Aggarawal, Rohini, Student’s guide to Mercantile & Commercial Laws, Taxmann Allied Services Pvt. Ltd., New Delhi.
2. Kapoor, N. D., Elements of Mercantile Law, Sultan Chand & Sons, New Delhi
3. Tulsian, P. C., Business Law, Tata McGraw-Hill Publishing Company, New Delhi, 2006.
4. Nolakha, R. L., Business Laws, Ramesh Book Depot, Jaipur
5. Sharma, Arya, Gupta, Jain, Business Laws, Ajmera Book Company, Jaipur

References: 

Datey, V.S., Business and Corporate Laws, Taxmann Allied Services Pvt. Ltd., New Delhi
2. Singh, Nirmal, Business Laws, Deep & Deep Publications Pvt. Ltd., New Delhi
3. Gulshan, S. S., Business Law, Excel Books, New Delhi

Academic Year: 
2016-2017
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