Which of the following is not a void agreement?
Contracts are an integral part of our daily lives. We enter into contracts when we buy groceries, sign a lease, or accept a new job offer. However, not all contracts are enforceable. Some agreements are considered void and have no legal effect.
The Indian Contract Act, 1872, defines a void agreement as an agreement that is not enforceable by law. Section 2(g) of the Act defines void agreements as those that are:
1. Against public policy,
2. Illegal,
3. Implies fraud, or
4. Includes a mistake.
So, which of the following is not a void agreement?
A. An agreement to commit a crime.
B. An agreement to sell a stolen car.
C. An agreement with a minor.
D. An agreement to sell a house that doesn`t exist.
The correct answer is D. An agreement to sell a non-existent house is an example of a void contract, as it is based on a mistake and lacks consideration. The seller cannot deliver the property, and the buyer cannot obtain it. Therefore, the agreement cannot be enforced by law.
In contrast, agreements to commit a crime, sell stolen goods, or enter into a contract with a minor are considered void ab initio, or void from the beginning. Such agreements violate public policy and are illegal, and therefore have no legal effect.
In conclusion, it is essential to understand the types of void agreements to avoid entering into unenforceable contracts. Always seek legal advice before entering into any agreement to ensure that it is legally binding and enforceable.