CA Foundation Exam > CA Foundation Questions > An agreement in restraint of legal proceeding...
Start Learning for Free
An agreement in restraint of legal proceedings is void. It does not cover an agreement which
- a)Restricts absolutely the parties from enforcing their legal rights
- b)Cuts short the period of limitation
- c)Discharges a party from liability or extinguishes the rights of a party
- d)Provides for a reference to arbitration instead of court of law.
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
An agreement in restraint of legal proceedings is void. It does not co...
Explanation:
An agreement that restricts or prevents parties from enforcing their legal rights is generally considered void. However, there are exceptions to this rule. Let's analyze each option to understand the validity of the agreement:
A: Restricts absolutely the parties from enforcing their legal rights
- This type of agreement is void because it completely restricts the parties from enforcing their legal rights.
B: Cuts short the period of limitation
- This agreement is not void because it does not restrict the parties from enforcing their legal rights. It only shortens the period of limitation within which a legal claim can be filed.
C: Discharges a party from liability or extinguishes the rights of a party
- This agreement is void because it discharges a party from liability or extinguishes their rights. It goes against the principle of enforcing legal rights.
D: Provides for a reference to arbitration instead of court of law.
- This agreement is valid and not void. Parties have the freedom to choose arbitration as an alternative method of dispute resolution, instead of going to court. Arbitration is a recognized and accepted legal process.
Therefore, among the given options, the agreement that is not void is option D, which provides for a reference to arbitration instead of a court of law.
An agreement that restricts or prevents parties from enforcing their legal rights is generally considered void. However, there are exceptions to this rule. Let's analyze each option to understand the validity of the agreement:
A: Restricts absolutely the parties from enforcing their legal rights
- This type of agreement is void because it completely restricts the parties from enforcing their legal rights.
B: Cuts short the period of limitation
- This agreement is not void because it does not restrict the parties from enforcing their legal rights. It only shortens the period of limitation within which a legal claim can be filed.
C: Discharges a party from liability or extinguishes the rights of a party
- This agreement is void because it discharges a party from liability or extinguishes their rights. It goes against the principle of enforcing legal rights.
D: Provides for a reference to arbitration instead of court of law.
- This agreement is valid and not void. Parties have the freedom to choose arbitration as an alternative method of dispute resolution, instead of going to court. Arbitration is a recognized and accepted legal process.
Therefore, among the given options, the agreement that is not void is option D, which provides for a reference to arbitration instead of a court of law.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer?
Question Description
An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer?.
An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer?.
Solutions for An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer?, a detailed solution for An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? has been provided alongside types of An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice An agreement in restraint of legal proceedings is void. It does not cover an agreement whicha)Restricts absolutely the parties from enforcing their legal rightsb)Cuts short the period of limitationc)Discharges a party from liability or extinguishes the rights of a partyd)Provides for a reference to arbitration instead of court of law.Correct answer is option 'D'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup