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Question
Principle: A condition must have complied in order to claim the benefit of an agreement.
Facts: A agrees to transfer a farm to B, if B shall not go to England within three years after the date of the agreement, his interest in the farm shall cease. B does not go to England within the term prescribed.
Options
B‘s interest in the farm continues
B‘s interest in the farm does not continue
B has a fundamental right to go to England or not to go to England and hence the condition is illegal
The agreement between A and B is void
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Solution
B‘s interest in the farm does not continue
Explanation:
B’s interest in the farm does not continue because his interest shall cease is itself the part of the condition. Read the facts. Here you will find that “his interest in the farm shall cease” is a part of the successful fulfillment of the condition.
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Apply the legal principles to the facts given below and select the most appropriate answer.
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1. A contract comes into being from the acceptance of an offer, When the person to whom the offer is made signifies his assent thereto, the proposal is said to be accepted and the parties are at consensus and idem regarding the terms of the agreement.
2. Consideration is something that moves from the promise to the promisor, at the implied or express request of the latter, in return for his promise. The item that moves can be a right. interest, profit, loss, responsibility given or suffered, forbearance, or a benefit which is of some value in the eyes of law.
3. Contractual rights and liabilities are exclusive to the parties to contract.
4. There are few exceptions to the doctrine of privity of contracts like agency, trust, assignment, and third party beneficiary.
5. A quasi-contract is a contract that is created by the court when no such official contract exists between the parties to prevent a party from being unjustly enriched, or from benefitting from the situation when he/she does not deserve to do so.
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II. The good tyre had not given any consideration to Bestmotors and therefore there could be no binding contract between the parties.
III. The good tyre was not listed as an agent within the contract and could therefore not be included as a valid third-party who had rights to claim on the contract.
