31. All illegal agreements are ………… (a) Void- ab-initio (b) Valid c) contingent (d) opposable 25. The term „private“ means (a) A contract is only a contract between the parties (b) A contract is a private document (c) Only private documents can be contracts (d) Contacts can be expressed in a usual and reasonable manner. 2.1 Conversely and independently: this notion, even if not covered by law, has evolved through jurisprudence.2 It requires contracting parties to perform certain tasks that are independent of each other, and their performance does not depend on whether a party performs its part of the contract. However, the implementation of these reciprocal and independent commitments is contractually binding. For example, „A,“ a public body, enters into a contract with a private contractor „B“ in which „B“ must build a bridge. If such a contract requires „A“ to share the details of its energy projects. B, for example, with „B,“ if such information has nothing to do with the construction of the bridge, „B“ will not be exempt from the obligation to build the bridge only because „A“ did not disclose the relevant information. The two promises that the parties have made to each other are binding, but reciprocal and independent. Indeed, „A“ will be required to share the details of energy projects, even if „B“ is down in the bridge work. However, if the treaty states that the two above commitments must be honoured in a specified order, the terms of the contract would be respected, whether reciprocal and independent.
In the pioneering case of Ms. Saradamani Kandappan against Ms. S. Rajalakshmi and Ors,3, the Supreme Court of Hon`ble upheld the terms of the contract and recognized the reciprocal promises as reciprocal and independent. Saradamani had reached an agreement with Rajalakshmi to purchase land for which payments were to be made in several tranches. Saradamani paid all the payments, but before the last, Rajalakshmi asked to show the title documents. Rajalakshmi refused and therefore Saradamani failed to pay the last installment. As the last instalment was not paid on time, Rajalakshmi terminated the contract.
Saradamani submitted a procedure for practical delivery and, after a dispute in several forums, the Supreme Court found that the two promises, the payment of the last tranche and the exhibition of the title documents, were reciprocal and exclusive. In addition, the contract did not subordinate the payment to the verification of the title documents, so the refusal of payment of Saradamani was not appropriate. But as time was crucial, the Supreme Court ruled that the contract had been terminated and instructed Rajalakshmi to return the payments received by Saradamani. 3. The contract is defined as an enforceable agreement by law, empty section … The Indian Contract Act. 1.An`agreement consists of reciprocal commitments between at least sections 51 to 54 of the Indian Contract Act of 1872 („Law“), which are specific provisions for reciprocal commitments. While Sections 51 and 52 explain the different situations in which mutual engagement may be relevant, sections 53 and 54 refer to situations in which a party does not respect its commitment. 28. „Consensus – ad – ditto“ means ……… (a) General Consensus b) Meeting of minds on the same meaning (c) Obtaining an agreement (d) Contract conclusion This newsletter is intended to provide an overview of the concept of mutual promises and to make recommendations that could be useful at the drafting and negotiation stage of contracts.