Bci c 02 Contracts

8/10/2019 Bci c 02 Contracts

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BCI C 02 CONTRACTS - I (GENERAL PRINCIPLES OF CONTRACTAND SPECIFIC RELIEF)

Objectives of t e co!"seEvery man in his day to day life from dawn to dusk makes a variety of contracts. Man's contract making activities increase with the increasing trade,commerce and industry. In a way living in a modern society would beimpossible if the law did not recognise this contract making power of aperson. This prompted Roscoe ound to make his celebrated observation!"#ealth, in a commercial age, is made up largely of promises". In this senseIndia is also a "promissory" society.

The conferment and protection by the law of this contract making power of persons gives them a considerable leeway to strike best bargain for thecontract making persons. In a way they are permitted to regulate and de$netheir relations in a best possible manner they chose. %owever, the contoursof contractual relations in a feudal, colonial and capitalist society of pre&independence India cannot necessarily be the same in an independent anddeveloping Indian society. #hatever may be the nature of a given society, the

contractual relations, as are obtained in that society, are governed by certainprinciples which are more or less of a general and basic nature. In India thesegeneral principles are statutised in the form of the Indian ontract (ct )*+ .

This course is designed to ac-uaint a student with the conceptual andoperational parameters of these various general principles of contractualrelations.peci$c enforcement of contract is an important aspect of the the law of

contracts. (nalysis of the kinds of contracts that can be speci$cally enforcedand the methods of enforcement forms a signi$cant segment of this study.

The following syllabus prepared with this perspective will comprise of about/0 1nits of one&hour duration.

yllabus). 2eneral rinciples of 3aw of contract units 04).). %istory and nature of contractual obligations). . (greement and contract! de$nitions, elements and kinds.).5. roposal and acceptance& their various forms, essential elements,

communication and revocation& proposal and invitations for proposal& 6oatingo7ers& tenders dumping of goods.

).0. onsideration & its need, meaning, kinds, essential elements &nudum pactum & privity of contract and of consideration& its e8ceptions&ade-uacy of consideration present, past and ade-uate consideration&unlawful consideration and its e7ects views of 3aw ommission of India onconsideration& evaluation of the doctrine of consideration.

).9. apacity to contract& meaning& incapacity arising out of status andmental defect minor's agreements& de$nition of 'minor'& accessories suppliedto a minor agreements bene$cial and detrimental to a minor & a:rmation&restitution in cases of minor's agreements& fraud by a minor& agreementsmade on behalf of a minor minor's agreements and estoppel& evaluation ofthe law relating to minor's agreements& other illustrations of incapacity tocontract.

).;.


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).;.). oercion& de$nition& essential elements& duress andcoercion& various illustrations of coercion& doctrine of economic duress& e7ectof coercion

).;. . 1ndue In6uence& de$nition& essential elements& betweenwhich parties can it e8ist= #ho is to prove it= Illustrations of undue in6uence&independent advice pardahanashin women& unconscionable bargains & e7ectof undue in6uence.

).;.5. Misrepresentation & de$nition & misrepresentation of lawand of fact& their e7ects and illustration.

).;.0. ects !).+.). ?oid agreements & lawful and unlawful considerations, and

ob>ects & void, voidable, illegal and unlawful agreements and their e7ects.).+. . 1nlawful considerations and ob>ects!

).+. .).


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).*. Buasi&contracts or certain relations resembling those created bycontract

).)4. Remedies in contractual relations!).)4.). @amages&kinds&remoteness of damages& ascertainment

of damages).)4. . In>unction& when granted and when refused& #hy=).)4.5. Refund and restitution).)4.0. peci$c performance& #hen= #hy=

. 2overnment as a ontracting arty units )4onstitutional provisions & government power to contract& proceduralre-uirements& kinds of government contracts& their usual clauses&performance of such contracts& settlements of disputes and remedies.5. tandard udicial approach to such contracts& e8emptionclauses & clash between two standard form contracts& 3aw ommission ofIndia's views0. Multi&national (greement units ;9. trategies and constraints to enforce contractual obligations units /9.). Dudicial methods& redressal forum, remedies9. . ther methods like arbitration, 3ok (dalat, Cyaya anchayat and othersuch non formal methods9.5. ystemic constraints in settling contractual disputes9.5.). ourt fees, service of summons, in>unctions, delay.;. peci$c relief 1nits )4;.). peci$c performance of contract;.).). ontract that can be speci$cally enforced;.). . ersons against whom speci$c enforcement can be oredered;. . Rescission and cancellation;.5. In>unction;.5.). Temporary;.5. . erpetual;.0. @eclaratory orders;.9. @iscretion and powers of courtelect bibliographyAeatsen Fed.G, (nson's 3aw of ontract F +th ed. )**/G. .(tiya, Introduction to the 3aw of ontract )** reprint F laredon 3aweriesG(vtar ingh, 3aw of ontract F 444G Eastern, 3ucknow2. . heshire, and %. .


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A I 45 CTR( T & II FIC@I(C CTR( T ( T, IC@I(C (RTCER %I( T, (3E < 2 @ ( T (C@ T%ER E Iectives of the course

This course is to be taught after the students have been made familiar withthe general principlesof contract in which the emphases is on understanding and appreciating thebasic essentials of avalid contract and on the e8istence of contractual relationship in variousinstances. bviously, acourse on special contracts should initiate the students to di7erent kinds ofcontracts with emphasison the intricacies therein. This course also should provide an insight into the

>usti$cation forspecial statutory provisions for certain kinds of contracts.

The paper comprises of about /0 units of one hour duration.yllabus). Indemnity units 5

).). The concept). . Ceed for indemnity to facilitate commercial transactions.).5. Methods of creating indemnity obligations.).0. @e$nition of Indemnity).9. Cature and e8tent of liability of the indemni$er).;. ommencement of liability of the indemni$er).+. ituations of various types of indemnity creations.)./. @ocumentsJagreements of indemnity).*. Cature of indemnity clauses.).)4. Indemnity in cases of International transactions).)). Indemnity by governments during interstate transactions.3aw ;. 2uarantee units +.). The concept.. . @e$nition of guarantee! as distinguished from indemnity..5. Aasic essentials for a valid guarantee contract..0. The place of consideration and the criteria for ascertaining the e8istenceof consideration in guarantee contracts..9. osition of minor and validity of guarantee when minor is the principaldebtor, creditoror surety..;. ontinuing guarantee..;.). Cature of surety's liability

.;. . @uration and termination of such liability.+. Illustrative situations of e8istence of continuing guarantee.

.+.) reation and identi$cation of continuing guarantees.

./. 3etters of credit and bank guarantees as instances of guaranteetransactions.*. Rights of surety!.*.). osition of surety in the eye of law.*. . ?arious >udicial interpretations to protect the surety..)4. o&surety and manner of sharing liabilities and rights.


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.)). E8tent of surety's liability.

.) . @ischarge of surety's liability.5. Aailment units ;5.). Identi$cation of bailment contracts in day today life.5.).). Manner of creation of such contracts5. . ommercial utility of bailment contracts5.5. @e$nition of bailment5.0. Hinds of bailees3aw +5.9. @uties of Aailor and Aailee towards each other5.;. Rights of bailor and bailee5.+.


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;.;. The rule of caveat emptor and the e8ceptions thereto under the ale of2oods (ct.;.+. hanging concept of caveat emptor;./. E7ect and meaning of implied warranties in a sale;.*. Transfer of title and passing of risk;.)4. @elivery of goods! various rules regarding delivery of goods.;.)). 1npaid seller and his rights;.). . Remedies for breach of contract+. artnership units 4+.). Cature of partnership! de$nition+. . @istinct advantages and disadvantages vis&K&vis partnership and privatelimitedcompnay+.5. Mutual relationship between partners+.0. (uthority of partners+.9. (dmission of partners.+.;. utgoing of partners.3aw *+.+. Registration of artnership+./. @issolution of artnership/. Cegotiable Instruments units )/.). The concept/. . ?arious kinds/.5. Essential re-uirements to make an instrument negotiable./.0. ompetent parties for making and negotiation/.9. (cceptance of the instrument./.;. @ishonour by non acceptance and remedies available to the holder/.+. %older and holder in due course! meaning, essential conditions rightsand privilegesof holder in course and indorsee from the holder in due course././. Cegotiation of the instrument./.*. resentment of the instrument./.)4. he-ues! rules regarding payment of che-ue/.)4.). 3iability of the collecting banker and paying banker./.)4. . @ishonour of che-ue and its e7ect./.)4.5. @ischarge from liability/.)). Hinds of bills/.) . Evidence/.) .). pecial rules of evidence regarding negotiable instrumentselect bibliography.R.H.(bhichandani Fed.G, ollock and Mulla on ontracts and peci$c Relief(cts F)***G Tripathi,Aombay(vtar ingh, ontract (ct F 444G, Eastern, 3ucknow.3aw 54Hrishnan Cair, 3aw of ontract,F)***G rient(vtar ingh, rinciples of the 3aw of ale of 2oods and %ire urchase F)**/G,Eastern, 3ucknow

D..?erma Fed.G, ingh and 2upta, The 3aw of artnership in India F)***G,rient 3aw %ouse,


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Cew @elhi.(. 2. 2uest Fed.G, Aen>aminLs ale of 2oods F)** G, weet Ma8well.Ahashyam and (diga, The Cegotiable Instruments (ct F)**9G, Aharath,(llahabadM. . arthasarathy Fed.G, D. . Hhergamvala, The Cegotiable Instruments (ctAeatson Fed.G, (nsons' 3aw of ontract, F)**/G, 8ford, 3ondonaharay, h.k., Indian artnership and ale of 2oods (ct F 444G, 1niversalRamnainga, The ales of 2oods (ct F)**/G, 1niversal3aw 5)A I 40 T RT (C@ C 1MER R TE TI C 3(#b>ectives of the course

#ith rapid industriali ation, tort action came to be used againstmanufacturers and industrial unitsfor products in>urious to human beings. resently, the emphasis is one8tending the principles notonly to acts, which are harmful, but also to failure to comply with standardsthat are continuouslychanging due to advancement in science and technology. roduct liability isnow assuming a newdimension in developed economics.In the modern era of consumer concern of goods and services, the law oftorts has an addedsigni$cance with this forage into the emerging law of consumer protection. Itoperates in disputesrelating to the -uality of goods supplied and services rendered and in thoseareas relating todamage su7ered by consumers. The law relating to consumer protection,lying scattered in myriadprovisions of various legislation and >udicial decisions in India, so connectedwith the human rightsfor a healthy life and environment, has now a core sub>ect to be taught as anindispensable part of a socially relevant curriculum.

The A I proposed a combination of laws of torts and consumer protection asa single paper. Thefollowing syllabus is prepared with this perspective.

The following syllabus prepared with this perspective will comprise of about/0 units of one hourduration.yllabus). Evolution of 3aw of Torts units )).). England & forms of action & speci$c remedies from case to case). . India & principles of >ustice e-uity and good conscience & uncodi$edcharacteradvantagesand disadvantages. @e$nition, Cature, cope and b>ects units .). ( wrongful act& violation of duty imposed by law, duty which is owed topeoplegenerally Fin remG & damnum sine in>uria and in>uria sine damnum.3aw 5


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).)). Tort distinguished from crime and breach of contract).) . The concept of unli-uidated damages,).)5. hanging scope of law of torts ! e8panding character of duties owed topeoplegenerally due to comple8ities of modern society).)0. b>ects& prescribing standards of human conduct, redressal of wrongsby paymentof compensation, proscribing unlawful conduct by in>unction.5. rinciples of 3iability in Torts units 5.). uria0. . Cecessity, private and public0.5. lainti7's default0.0. (ct of 2od0.9. Inevitable accident0.;. rivate defense0.+. tatutory authority0./. Dudicial and -uasi&>udicial acts0.*. arental and -uasi&parental authority3aw 559. E8tinguishment of liability in certain situations units 9.). (ctio personalis moritur cum persona & e8ceptions9. . #aiver and ac-uiescence9.5. Release9.0. (ccord and satisfaction9.9. 3imitation;. tanding units ;.). #ho may sue & aggrieved individual & class action & social action group;. . tatutes granting standing to certain persons or groups;.5. #ho may not be sued =+. @octrine of sovereign immunity and its relevance in India units /. ?icarious 3iability units 5/.). Aasis, scope and >usti$cation/.).). E8press authori ation/.).). Rati$cation/.). . (betment/. . pecial Relationships!/. .). Master and servant & arising out of and in the course of employment &who is master=& the control test & who is servant= & borrowed servant & independentcontractor andservant, distinguished/. . . rincipal and agent


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/. .5. orporation and principal o:cer*. Torts against persons and personal relations units +*.). (ssault, battery, mayhem*. . urious falsehood, misstatements,passing o7 )). Cegligence units ;)).). Aasic concepts)).).). Theories of negligence)).). . tandards of care, duty to take care, carelessness, inadvertence)).).5. @octrine of contributory negligence)).).0. Res ipsa lo-uitor and its importance in contemporary law)). . 3iability due to negligence ! di7erent professionals)).5. 3iability of common carriers for negligence)).0. roduct liability due to negligence ! liability of manufacturers andbusiness housesfor their products) . Cuisance units ) .). @e$nition, essentials and types) . . (cts which constitute nuisance& obstructions of highways, pollution ofair, water,noise, and interference with light and air)5. (bsoluteJ trict liability units )5.). The rule in Rylands v. unction)0.).0. peci$c restitution of property)0. . E8tra&legal remedies& self&help, re&entry on land, re&caption of goods,distressdamage feasant and abatment of nuisance.)9. onsumer movements! historical perspectives units )9.). ommon law protection! contract and torts)9. . onsumerism in India! food adulteration, drugs and cosmetics &essentialommodities


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)9. .). riminal sanction! ale of no8ious and adulterated substances, falseweights andmeasures. 1se of unsafe carriers);. onsumer, the concept units );.). 2eneral erspectives);. . tatutory and government services! to be included or not=);. . @e$nition and scope! the onsumer rotection (ct )*/; F (G);.5.). #ho is not a consumer=)+. 1nfair Trade ractices units )+.). Misleading and false advertising)+. . 1nsafe and ha ardous products)+.5. @isparaging competitors)+.0. Ausiness ethics and business self&regulation)+.9.


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. . urisdiction, powers and functions5.).). E8ecution of orders5.). . Dudicial review5. . I35.5. lass action5.0. Remedies!5.9. (dministrative remedieselect bibliographyalmond and %euston & n the 3aw of Torts F 444G 1niversal, @elhi.@[email protected], The 3aw of Torts F)*/ G, Hamal, [email protected], 3aw of Tort F)*/+G, Eastern, 3ucknow. .(chuthan illai, The law of Tort F)**0G Eastern, 3ucknowRatanlal @hira>lal, The 3aw of Torts F)**+G, 1niversal, @elhi.3aw 5/#in$eld and Dolowi on Tort F)***G, weet and Ma8well, 3ondon.araf, @.C., 3aw of onsumer reotection in India F)**9G, Tripathi, Aombay(vtar ingh, The 3aw of onsumer rotection! rinciples and ractice F 444G,Eastern Aook o.,3ucknow

D.C.Aarowalia, ommentary on onsumer rotection (ct )*/; F 444G,1niversal, @elhi..H.Ma>undar, The 3aw of onsumer rotection In India F)**/G, rientublishing o. Cew @elhi.R.M. ?ats, onsumer and the 3aw F)**0G, 1niversal, @elhi

A I 4+ 3(# < RIME

b>ectives of the course The Indian society has changed very rapidly since Independence. ( properunderstanding of crimes,methods of controlling them and the socio&economic and political reasons fortheir e8istence isnow e8tremely important in the larger conte8t of India's development, ifstudents are to use theirknowledge and skills to build a >ust and humane society. The curriculumoutlined here attempts tobring in these new perspectives.

The following syllabus will comprise of about /0 1nits of one hour duration.yllabus

). 2eneral units )4).). onception of crime).).). re&colonial notions of crime as re6ected in %indu, Muslim and triballaw.).). . Macaulay's draft based essentially on Aritish notions.). . tate's power to determine acts or omissions as crimes).5. tate's responsibility to detect, control and punish crime.).0. @istinction between crime and other wrongs.).9. I ! a re6ection of di7erent social and moral values.


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).;. (pplicability of I. . .).;.). Territorial).;. . ersonal).+. alient features of the I. .. Elements of criminal liability units 9.). (uthor of crime & natural and legal person. . Men rea & evil intention

3aw 0+.5. Importance of mens rea.0. Recent trends to $8 liability without mens rea in certain socio&economico7ences..9. (ct in furtherance of guilty intent.;. mission.+. In>ury to another5. 2roup liability units )45.). tringent provision in case of combination of persons attempting todisturb peace.5. . ommon intention5.5. (betment!5.5.). Instigation, aiding and conspiracy5.5. . Mere act of abetment punishable5.0. 1nlawful assembly!5.0.). Aasis of liability5.9. riminal conspiracy5.;. Rioting as a speci$c o7ence0. tages of a crimeunits ;0.). 2uilty intention & mere intention not punishable0. . reparation0. .). reparation not punishable0. . . E8ception in respect of certain o7ences of grave nature or of peculiarkind such aspossession of counterfeit coins, false weights and measures.0.5. (ttempt!0.5.). (ttempt when punishable & speci$c provisions of I0.5. . Tests for determining what constitutes attempt & pro8imity, e-uivocalityand socialdanger0.5.5 Impossible attempt3aw 0/9. usti$cation and limits9.5.). #hen private defence e8tends to causing of death to protect body andproperty9.5. . Cecessity9.5.5. Mistake of fact


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;. Types of punishment units /;.). @eath!;.).). ocial relevance of capital punishment;.). . (lternatives to capital punishment;. . Imprisonment & for life, with hard labour, simple imprisonment;.5.


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*. 7ences against roperty units 9*.). Theft*. . heating*.5. E8tortion*.0. Robbery and dacoity*.9. Mischief *.;. riminal misrepresentation and criminal breach of trust)4. Cew kinds of crimes such as terrorism, pollution and adulteration units 9)). 3aw Reforms units 9AibliographyH.@. 2aur, riminal 3aw! ases and Materials F)***G, Autterworths, IndiaRatanlan&@hira>lal's Indian enal ode F)**0 [email protected], ( Te8t Aook on the Indian enal ode F)**/G, 1niversal, @elhi.. .(chuthan illai, riminal 3aw F)**9G Eastern, 3ucknow.%idayathullaw,M., et.al., Ratanlal and @hira>lats The Indian enal ode F)**0reprintG, #adhwa o., Cagpur.A.M.2andhi, Indian enal ode F)**;G, Eastern, Cagpur

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Bci c 02 Contracts