All Contracts Are Agreement But All Agreements Are Not Contract Discuss This Statement

For example, if Devdas asks Paro not to marry for the most part of his life, he will give her a new dress and shoes in return; it cannot be considered a valid contract, because the agreement is concluded in limitation of the marriage. From a legal point of view, a contract is a legally binding agreement between two or more parties which, if it contains the elements of a valid legal agreement, can be implemented by law [3] or by a binding arbitration procedure. A legally enforceable contract is an exchange of commitments with specific remedies in the event of an infringement. These may include a compensatory measure in which the defaulting party is required to pay funds that would otherwise have been exchanged if the contract had been complied with, or a fair appeal, such as the specific performance in which the person who concluded the contract is required to perform the specific act that he or she did not comply with. Therefore, any contract is an agreement, but not all contracts are an agreement. An agreement is an absolute limitation of judicial process [§28]; In the example above, there is no legal obligation, so it can be said that it is only a social agreement, but not a contract. For example, if a person buys a car that is only 3-4 years old and the owner lied about the year the car was made, thus committing fraud. Now, under the Indian Contract Act, the fraud of 1872 makes a contract subject to challenge. Therefore, the buyer is free to buy the car or not, while the seller is bound by the promise he made.

To make the treaty an agreement, it is important that no contract is possible without an agreement, but we cannot say that all agreements are contracts. Section 2(y) of the Contracts Act states that « the contract is a legally enforceable agreement ». Any agreement z.B see the cinema is not a contract, if the offer is accepted, it becomes a promise. The promise is followed by a consideration, then an agreement, and if an agreement is enforceable by law, it becomes a CONTRACT, see below: – i) Proposal + acceptance = PROMISE ii) promise + consideration = AGREEMENT iii) Agreement + application = CONTRACTUAL AGREEMENT – In accordance with Section 2 (e) of the Indian Contracts Act « Any promise and any series of promises that constitute the mutual consideration, is an agreement. » The above statement is correct from the point of view of the Indian Contract Act 1872. According to point 2(h) for the contract, two elements are essential. On the basis of the following definitions, we find that a contract essentially consists of two elements: – According to the jurist Sir John William Salmond, a contract is « an agreement which creates and defines obligations between two or more parties ». AGREEMENT: – Agreement 2 (e) Promises or a series of promises that make the counterpart between them is an agreement. A contract between an employer and a trade union or other representative, voluntarily chosen by the majority of the employer`s workers in a bargaining group, relating to wages, hours and other terms and conditions of employment of that group. « All contracts are agreements, but not all agreements are contracts. » This statement can be understood in the Venn diagram above. Agreements applicable under the laws of the country become contracts designated by the inner circle. The outer circle refers to agreements that are not contracts.