Void Agreement
/vɔɪd əˈɡriːmənt/
Contract Law Term
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Definition
An agreement not enforceable by law from the very beginning — a complete nullity with no legal effect. Section 2(g) of the Indian Contract Act, 1872 defines it. Examples: agreements without consideration, in restraint of trade (Section 27), in restraint of marriage, by incompetent parties (minors, persons of unsound mind), and agreements with unlawful objects (Section 23).
Examples
Case Study
In Mohori Bibee v. Dharmodas Ghose (1903), the Privy Council held that a mortgage by a minor is void ab initio — the lender cannot recover even on equitable grounds. A minor's contract is completely void, not merely voidable.
Key Cases
Mohori Bibee v. Dharmodas Ghose
1903(1903) ILR 30 Cal 539 (PC)
A minor's agreement is void ab initio — not voidable. The minor is not liable even to restore consideration received. Still the leading Indian authority on minors and contracts.
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