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A strainger to consideration can sue but a stranger to contract cannot sue?
Wiki User
∙ 11y ago
Stranger to consideration can sue but not stranger to contract.
According to sec 2(d) of Indian contract act,1872. Consideration definition says that "when at the desire of the promisor, promisee or any other person- has done or abstained from doing ,does or abstains from doing, promises to do or abstains from doing something".
According to this definition law only considers that in a contract consideration should be there,and it is immaterial who has supplied consideration. that is ,a stranger can also give consideration. so when promisee does not give consideration and if it is supplied by stranger, than promisee becomes stranger to consideration. so promisee though he does not give consideration he can sue promisor for enforcing the contract i.e enforcing promise given by promisor, because consideration is there and it is supplied by some third party.
According to Privity of contract it says stranger to contract cannot sue: because only parties to the contract can proceed against one another and not a third person.That is a third person cannot file a suit on a party to the contract for enforcement of promise.
Example: Dunlop Pnuematic vs Selfridge co.,case facts once refer.
Ex: suppose if x sells his property to y and in turn y promises x that he would pay off the debt of x which is due to z. In such a case, if y did not pay the debt money to z, then z cannot file suit on y because z is stranger to contract.
So stranger to consideration can sue but not a stranger to contract.
Wiki User
∙ 13y ago
Wiki User
∙ 11y agothis can be properly understand through the case [ CHINAYA V/S RAMAYA (1881)a.mad.137] .Facts of this case were as follows:-
"A" by a deed of gift made over certain property to her daughter with condition that her brother should be paid annuity by A's daughter.On the same day A's daughter executed a document agreeing to pay annuity accordingly but declined to pay after sometime . A's brother sued A's daughter. It was contended on behalf of A's daughter, that there was no consideration from A's brother and hence there was no valid contract. This plea was rejected on the ground that the consideration did flow from A's mother to A and such consideration from third party is sufficient to enforse the promise of A's daughter to her promise to pay annuity to A's brother
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Privity of contract and privity of consideration?
Privity of consideration: In England consideration must move from the promisee. If it is furnished by any other person ,the promisee becomes a stranger to the consideration and,therefore,cannot enforce the promise promisee seeking to enforce an agreement must show that he himself furnished the consideration for the promise give by the other party.The principle is known as the doctrine of privity of consideration.This principle is not applicable in INDIA.Privity of contract : A contract cannot confer any right on one who is not a party to the contract even though the very object of the contract may have been to benefit him.Only a person who is party to a contract can sue on it.This principle is applicable in INDIA.
What does it mean when a stranger to contract cannot sue?
it is the major consistence to anybody else
What constitute a valid contract?
An enforceable contract requires the existence of the following elements: an offer, an acceptance that mirrors the terms of the offer, consideration, and lawful subject matter. The "consideration" can consist of money, property, a promise--just about anything of value that is not unlawful. Generally, a court will not inquire into the adequacy of the consideration. "Consideration" might be thought of as the "this for that" or the "quid pro quo". Even of the other elements are present, a contract cannot be enforced if the object of it is unlawful. That is, one cannot, for example, enforce a contract to rob a bank.
What makes past consideration invalid?
because its done before the contract is made is not consideration. These fact cannot influence forming of a contract if they were in past tense for example: Al gives emergency care to Bob . Bob promises to pay Al for his services but his promise is not binding because there is no bargain for exchange
How do the concepts of offer acceptance and consideration work together to create a valid contract?
An offer first sets out the terms/conditions of a contract. For example, I have offered you a car in exchange for £1,000. An acceptance means that you are willing to be legally bound by this offer and you will pay £1,000 for my car. Simply put, consideration is defined as a value paid for the promise of an act, service, item, etc. Both parties will gain something from the transaction. In the example, the £1,000 would be consideration for my car. However, if I simply said "I will give you my car" and you accepted, I would not be legally bound to give you the car and you could not sue me. This is because you have not given me any consideration in exchange. Without consideration, a contract cannot be formed.
Adequacy of consideration?
sufficient is used when we suggest a close meeting of a need . adequate may imply barely meeting a requirement . (Webster)
What are the rules that govern consideration in a valid contract?
1. Consideration must move at the desire of the promisor-The act or forbearance must be done at the desire or request of the promisor. If it is done without his request or at the request of a third party it will not be a valid consideration. 2. Consideration need not be adequate but must be sufficient-It is not necessary that there must be full return for the promise. There must be something rather than nothing. The law has left the quantum of consideration to be decided by the respective parties. Thus, the law will not object to the inadequacy of consideration.The law will not enforce a promise even if it is without consideration. 3. Past consideration is not consideration 4. Forbearance to sue may be good consideration 5. Performance of existing duties. A person who has not provided consideration cannot sue to enforce a promise.
What do you mean by offer?
An offer is a proposal to take some action, or to refrain from taking some action. If accepted according to its terms, and accompanied by something of value (which can be a tangible thing, money, or a correlative promise to do or refrain from doing an act--in all cases called "consideration"), a contract is formed. However, even if accepted and supported by consideration, the offer of an illegal act cannot be the basis of a contract.
Can a verbal No Refund be held against you when signing a contract?
No. However, when you sign a contract the agreement you have is only what is outlined in the body of the contract. It cannot be modified by any oral statements.No. However, when you sign a contract the agreement you have is only what is outlined in the body of the contract. It cannot be modified by any oral statements.No. However, when you sign a contract the agreement you have is only what is outlined in the body of the contract. It cannot be modified by any oral statements.No. However, when you sign a contract the agreement you have is only what is outlined in the body of the contract. It cannot be modified by any oral statements.
What are the exceptions to a breach of contract?
One exception to a breach of contract is if the contract is illegal to begin with. A court will not recognize either party in a lawsuit if the contract is not lawful. Another exception might be the age of the participants. To be legally binding, a contract has to be between people who are adults at the time of the signing.
Can a minor put a house under a contract?
No. A minor cannot sign a binding contract.No. A minor cannot sign a binding contract.No. A minor cannot sign a binding contract.No. A minor cannot sign a binding contract.
When can contracts be set aside for illegality?
You can only sign a contract for legally allowed goods and services. You cannot contract to buy illegal drugs. You cannot contract to have someone assaulted.
