B Com Exam > B Com Questions > Consideration is an essential element of a va...
Start Learning for Free
Consideration is an essential element of a valid contract because it:
- a)Determines the legality of the contract
- b)Establishes the intention of the parties
- c)Provides evidence of the parties' legal relations
- d)All of the above
Correct answer is option 'D'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
Consideration is an essential element of a valid contract because it:a...
Consideration is a necessary element of a valid contract because it helps determine the legality of the contract, establishes the intention of the parties, and provides evidence of their legal relations. It acts as the price paid by the promisee for the obligation of the promisor. Therefore, option D is the correct answer.
Free Test
FREE
| Start Free Test |
Community Answer
Consideration is an essential element of a valid contract because it:a...
Explanation:
Consideration:
Consideration is a fundamental principle in contract law. It refers to something of value that is given by each party to a contract in exchange for the other party's promise or performance. Consideration is an essential element of a valid contract because it serves several important purposes.
Determines the legality of the contract:
One of the main functions of consideration is to determine the legality of the contract. For a contract to be enforceable, it must involve a lawful exchange of promises or performances. Consideration ensures that both parties are giving something of value in return, which helps to prevent contracts that involve illegal or unethical activities.
Establishes the intention of the parties:
Consideration also helps to establish the intention of the parties to enter into a legally binding agreement. By exchanging something of value, the parties demonstrate their commitment and seriousness in forming a contract. It shows that they have mutually agreed to be bound by the terms and conditions set forth in the agreement.
Provides evidence of the parties' legal relations:
Consideration serves as evidence of the parties' legal relations. It demonstrates that there is a valid contract in place and that each party has given something in exchange for the other party's promise or performance. This evidence is crucial in case of a dispute or disagreement, as it helps to prove the existence and terms of the contract.
Conclusion:
In conclusion, consideration is an essential element of a valid contract because it determines the legality of the contract, establishes the intention of the parties, and provides evidence of the parties' legal relations. Without consideration, a contract would lack the necessary elements to be enforceable. Therefore, it is crucial for parties to exchange something of value in order to create a valid and binding agreement.
Consideration:
Consideration is a fundamental principle in contract law. It refers to something of value that is given by each party to a contract in exchange for the other party's promise or performance. Consideration is an essential element of a valid contract because it serves several important purposes.
Determines the legality of the contract:
One of the main functions of consideration is to determine the legality of the contract. For a contract to be enforceable, it must involve a lawful exchange of promises or performances. Consideration ensures that both parties are giving something of value in return, which helps to prevent contracts that involve illegal or unethical activities.
Establishes the intention of the parties:
Consideration also helps to establish the intention of the parties to enter into a legally binding agreement. By exchanging something of value, the parties demonstrate their commitment and seriousness in forming a contract. It shows that they have mutually agreed to be bound by the terms and conditions set forth in the agreement.
Provides evidence of the parties' legal relations:
Consideration serves as evidence of the parties' legal relations. It demonstrates that there is a valid contract in place and that each party has given something in exchange for the other party's promise or performance. This evidence is crucial in case of a dispute or disagreement, as it helps to prove the existence and terms of the contract.
Conclusion:
In conclusion, consideration is an essential element of a valid contract because it determines the legality of the contract, establishes the intention of the parties, and provides evidence of the parties' legal relations. Without consideration, a contract would lack the necessary elements to be enforceable. Therefore, it is crucial for parties to exchange something of value in order to create a valid and binding agreement.
|
Explore Courses for B Com exam
|
|
Similar B Com Doubts
Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer?
Question Description
Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer?.
Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer?.
Solutions for Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for B Com.
Download more important topics, notes, lectures and mock test series for B Com Exam by signing up for free.
Here you can find the meaning of Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer?, a detailed solution for Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? has been provided alongside types of Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Consideration is an essential element of a valid contract because it:a)Determines the legality of the contractb)Establishes the intention of the partiesc)Provides evidence of the parties' legal relationsd)All of the aboveCorrect answer is option 'D'. Can you explain this answer? tests, examples and also practice B Com tests.
|
|
Explore Courses for B Com exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup