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A agrees to sell his car worth Rs. 100,000 to B for Rs. 20,000 only, and A`s consent was obtained by coercion. Here, the agreement is
- a)void
- b)valid
- c)voidable
- d)unlawful
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
A agrees to sell his car worth Rs. 100,000 to B for Rs. 20,000 only, a...
Explanation:
Coercion:
Coercion is defined under Section 15 of the Indian Contract Act, 1872. It means the committing or threatening to commit any act forbidden by the Indian Penal Code (IPC) or the unlawful detaining or threatening to detain any property with the intention of causing any person to enter into an agreement. In simple terms, coercion refers to the use of force or threat to make someone agree to a contract against their free will.
Voidable Agreement:
According to Section 19 of the Indian Contract Act, 1872, when consent to an agreement is obtained by coercion, the agreement is a voidable contract at the option of the party whose consent was so obtained. This means that the party whose consent was obtained by coercion has the option to either affirm the contract or void it.
Analysis of the Given Situation:
In the given situation, A agrees to sell his car worth Rs. 100,000 to B for Rs. 20,000 only. However, A's consent was obtained by coercion. This means that A was forced or threatened into agreeing to sell the car at a significantly lower price than its actual value.
Voidable Agreement:
Since A's consent was obtained by coercion, the agreement between A and B is a voidable contract. A has the option to either affirm the contract or void it. If A decides to void the contract, it will be treated as if the contract never existed. A may also choose to affirm the contract if he wishes to proceed with the sale.
Conclusion:
In conclusion, the agreement between A and B is a voidable contract because A's consent was obtained by coercion. A has the option to either affirm the contract or void it based on his own discretion.
Coercion:
Coercion is defined under Section 15 of the Indian Contract Act, 1872. It means the committing or threatening to commit any act forbidden by the Indian Penal Code (IPC) or the unlawful detaining or threatening to detain any property with the intention of causing any person to enter into an agreement. In simple terms, coercion refers to the use of force or threat to make someone agree to a contract against their free will.
Voidable Agreement:
According to Section 19 of the Indian Contract Act, 1872, when consent to an agreement is obtained by coercion, the agreement is a voidable contract at the option of the party whose consent was so obtained. This means that the party whose consent was obtained by coercion has the option to either affirm the contract or void it.
Analysis of the Given Situation:
In the given situation, A agrees to sell his car worth Rs. 100,000 to B for Rs. 20,000 only. However, A's consent was obtained by coercion. This means that A was forced or threatened into agreeing to sell the car at a significantly lower price than its actual value.
Voidable Agreement:
Since A's consent was obtained by coercion, the agreement between A and B is a voidable contract. A has the option to either affirm the contract or void it. If A decides to void the contract, it will be treated as if the contract never existed. A may also choose to affirm the contract if he wishes to proceed with the sale.
Conclusion:
In conclusion, the agreement between A and B is a voidable contract because A's consent was obtained by coercion. A has the option to either affirm the contract or void it based on his own discretion.
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A agrees to sell his car worth Rs. 100,000 to B for Rs. 20,000 only, and A`s consent was obtained by coercion. Here, the agreement isa)voidb)validc)voidabled)unlawfulCorrect answer is option 'C'. Can you explain this answer?
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