what is leagality of object ive Related: Legality of object - Contrac...
LEGALITY OF OBJECT AND CONSIDERATION. 2. Introduction If an agreement is to be enforced in a court of law, both consideration and object of the agreement must be lawful. When one of consideration or object is unlawful, the contract is void.
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what is leagality of object ive Related: Legality of object - Contrac...
Legality of Object
Section 23 of the Indian Contract Act has specified certain considerations and objects as unlawful. The consideration or objects of an agreement is lawful, unless- it is forbidden by law; is of such a nature that, if permitted, it would defeat the provision of any law; or is fraudulent; or involves injury to the person or property of another; or the court regards it as immoral or opposed to public policy.
In each of the above mentioned cases the consideration or object of an agreement is deemed to be unlawful. Every agreement in which the object or consideration is unlawful is void.
what is leagality of object ive Related: Legality of object - Contrac...
Legality of Object in Contract Law
The legality of object is an important concept in contract law that refers to the requirement that the subject matter or purpose of a contract must be legal. In other words, for a contract to be enforceable, the object or purpose of the contract must not violate any laws or public policy.
Legal Requirement
The legality of object is one of the essential elements that must be present for a contract to be valid. If the object of the contract is illegal, the entire contract may be deemed void and unenforceable. This principle is based on the idea that the law should not support or enforce agreements that are contrary to public policy or involve illegal activities.
Types of Illegal Object
There are various types of illegal objects that can render a contract invalid:
1. Criminal Activities: Contracts that involve criminal activities, such as drug trafficking or money laundering, are considered illegal and unenforceable.
2. Contrary to Statute: Contracts that violate statutory laws, such as contracts to commit fraud or discrimination, are not legally valid.
3. Against Public Policy: Contracts that are against public policy, including contracts that promote unfair competition or restrict trade, are generally unenforceable.
Consequences of Illegal Object
If the object of a contract is found to be illegal, several consequences may arise:
1. Contract Voidness: The contract may be deemed void ab initio, meaning it is treated as if it never existed. This can result in the parties being released from their obligations under the contract.
2. Restitution: If one party has already performed their part of the contract before its illegality is discovered, they may be entitled to restitution. This means they can seek to recover any benefits or payments made under the contract.
3. Criminal Liability: Engaging in illegal activities through a contract can subject the parties involved to criminal prosecution and penalties.
Conclusion
The legality of object is a fundamental principle in contract law. To ensure the enforceability of a contract, it is crucial that the object or purpose of the contract is legal and does not violate any laws or public policy. Parties should always carefully consider the legality of the subject matter before entering into a contract to avoid potential legal consequences.