Paper – LB – 102 - Principles of Contract
The law of contracts touches equally upon the lives of ordinary persons and the activities of small and big business. This branch of law deals with law relating to promises, their formation, performance and enforceability. It is scattered over several legislations. There are special legislations dealing with particular contractual relationships, e.g. The Sale of Goods Act, 1930, The Partnership Act, 1932. This paper will include a study of general principles of contracts spelt out in sections 1-75 of the Indian Contract Act, 1872. The remaining provisions of this Act will be covered separately in two papers of LL.B. III/IV Term - Business Association – I (Partnership and Agency) and Commercial Transactions (Sale of Goods, Hire Purchase and Bailments) and one paper of LL.B. VI Term - Negotiable Instruments, Banking and Insurance. The statutory provisions would be supplemented with judicial pronouncements. Prescribed Legislations: (a) The Indian Contract Act, 1872 (b) The Specific Relief Act, 1963 (c) The Indian Majority Act, 1875 Prescribed Books: (a) Nilima Bhadbhade, Pollock & Mulla, Indian Contract & Specific Relief Acts (13th ed., 2006) (b) J. Beatson, Anson’s Law of Contract (28th ed., 2002) (c) H.K. Saharay, Dutt on Contract – The Indian Contract Act, 1872 (10th ed., 2006) (d) Avtar Singh, Law of Contract and Specific Relief (10th ed., 2008) Recommended Book: M.P.Furmston, Cheshire, Fifoot and Furmston’s Law of Contract (15th ed., 2007) Topic 1 : General Introduction – History and Nature of Contractual Obligations Topic 2 : Formation of an Agreement Intention to create legal relationship; offer and invitation to treat; kinds of offer, communication, acceptance and revocation of offer and acceptance; modes of revocation of offer - Indian Contract Act, 1872, sections 2 – 10 Carlill v. Carbolic Smoke Ball Co. (1891-4) All ER Rep.127 1 1. 2. Pharmaceutical Society of Great Britain v. Boots Cash Chemist