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ASSIGNMENT SET- 1 Q.1 What do you mean by free consent? Under what circumstances consent is considered as free? Explain. Ans.: Free consent: One of the essential of a valid contract is free consent. Sec. 13 of the act defense consent has two or more persons are said to consent where they agree upon think in the same sense. There should be consents at the ad idem or identity of minds. The validity of consent depends not only on consents parties but their consents must also be free. According to section 14, consent is said to be free when it is not caused by 1) Coerci on has de fined under sec.1 5 or 2) Undue influence as defined under sec. 16 or 3) Fr aud has def ined under sec. 17 or 4) Mis- repre sentation or d efined under s ec. 18 or 5) Mistake s ubjec t to the p robations of sec. 21& 22. 1) Coercion: Sec. 15 “coercion is the committing or threatening to commit any act forbidden by the Indian penal code or the unlawful detaining or threatening to detain any property, to the prejudice of any person whatever, with the intention of causing any person to enter into an agreement. “ It is immaterial weather the Indian penal code is or is not in force in the place where the coercion is employed Under English Law, coercion must be applied to one’s person only whereas under Indian Law it can be one’s person or property. So also under English Law, the subject of it must be the contracting party himself or his wife, parent, child or other near relative. Under Indian Law, the act or threat may be against any person. It is to be noted that he act need not be committed in India itself. Unlawful detaining or threatening to detain any property it also coercion. While threat to sue does not amount to coercion threat to file a false suit amounts to coercion since Indian Penal Code forbids such an act. 2) Undue influence: In the words of Holland,” Undue influence refers to “the unconscious use of power over another person, such power being obtained by virtue of a present or previously existing dominating control arising out of relationship between the parties.”
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MB0051 SEM-3 Legal Aspects of Business

Apr 09, 2018

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