All Courses
Explore Courses UPSC Exam UPSC Test Series Free Notes EduRev Infinity Get the App Login Join for Free
Sign in Open App
CLAT Exam  >  CLAT Questions  >  Direction: Read the following passage careful... Start Learning for Free
SaveJoin the Discussion on the App
Direction: Read the following passage carefully and answer the questions given below:
In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.
Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.
The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then it'll not be considered as a contingent contract.
The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.
If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.
Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.
[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]
Q. If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?
  • a)
    Given the potential for divorce in the future, the pact is still enforceable.
  • b)
    The agreement is still enforceable in a court of law, hence it is still legal.
  • c)
    The contingency in this agreement has become impossible, so no, it is not valid.
  • d)
    No, it isn't legal because the contract forbids marriage, which is illegal from the start.
Correct answer is option 'C'. Can you explain this answer?
FREE This question is part of
Download PDF Attempt Test
Download PDF Attempt this Test
Most Upvoted Answer
Direction: Read the following passage carefully and answer the questio...
When a contract depends on a person's future actions, the event is deemed impossible if that person takes actions that render the event impossible. In this case, the contingency has become impossible due to Z marrying A, thus invalidating the contract. In other words, it has become impossible.
Attention CLAT Students!
To make sure you are not studying endlessly, EduRev has designed CLAT study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CLAT.
< Previous Question Next Question >
Explore Courses for CLAT exam

Similar CLAT Doubts

Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.X, a private insurer, and Y have entered into a contract for fire insurance on Ys house. Under the agreement, X commits to pay Y Rs. 5 lakh in the event of his house being destroyed by fire in exchange for an annual premium of Rs. 10,000. Can this contract be classified as contingent?

Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.Is this contract between X and Y considered a contingent contract, where X commits to supplying 100 radio sets to Y in exchange for a payment of Rs. 1,00,000 upon delivery?

Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.At what point can the contract between X and Y, stipulating that X will purchase Ys dog contingent on Xs survival of Z, be legally enforced?

Directions:The question is based on the reasoning and arguments, or facts and principles set out in the passage. Some of these principles may not be true in the real or legal sense, yet you must conclusively assume that they are true for the purpose. Please answer the question on the basis of what is stated or implied in the passage. Do not rely on any principle of law other than the ones supplied to you, and do not assume any facts other than those supplied to you when answering the question. Please choose the option that most accurately and comprehensively answers the question.In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.Q.X promises to pay Y some consideration if he marries Z. However, Z marries A. What is the status of this agreement?

Directions:The question is based on the reasoning and arguments, or facts and principles set out in the passage. Some of these principles may not be true in the real or legal sense, yet you must conclusively assume that they are true for the purpose. Please answer the question on the basis of what is stated or implied in the passage. Do not rely on any principle of law other than the ones supplied to you, and do not assume any facts other than those supplied to you when answering the question. Please choose the option that most accurately and comprehensively answers the question.In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.Q.X is a private insurer and enters into a contract with Y for fire insurance of Ys house. According to the terms, X agrees to pay Y an amount of Rs. 5 lakh if his house is burnt against an annual premium of Rs. 10,000. Is this a contingent contract?

Top Courses for CLATView all

Top Courses for CLAT

Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer?
Question Description
Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? for CLAT 2024 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CLAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer?.
Solutions for Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.
Here you can find the meaning of Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer?, a detailed solution for Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Direction: Read the following passage carefully and answer the questions given below:In contracts of insurance, indemnity or guarantee one thing in common is that they create an obligation on the promisor if an event which is collateral to the contract does or does not happen. The insurer is not called into action until the event of the death of the insured happens. This is a contingent contract.Under Section 31 of the Indian Contract Act, 1872, contingent contracts are defined as a contract in which two or more parties enter into a contract to do or not do something, if an event which is collateral to the contract does or does not happen, then it is a contingent contract.The condition for which the contract has been entered into must be a future event, and it should be uncertain. If the performance of the contract is dependent on an event, which is although a future event, but certain and sure to happen, then itll not be considered as a contingent contract.The contingent contracts to do or abstain from doing something if an uncertain future event happens. However, the contract cannot be enforced by law unless the event takes place. If the event becomes impossible, such contracts become void.If a contract contingent upon how a person will act at a future time, the event shall be considered impossible when such person does anything which makes it impossible for the event to happen. Such an agreement is valid.Contingent contracts to do or not to do anything if a future uncertain event happens within a fixed time. Such a contract is void if the event does not happen and the time lapses. It is also void if before the time fixed, the happening of the event becomes impossible. Contingent contract to do or not to do anything if an uncertain event does not happen within a fixed time may be enforced by law when the fixed time has expired, and such event has not happened, or before the time fixed has expired, if it becomes certain that such event will not happen.[Extracted with edits and revision from Contingent Contracts under Indian Contract Act, blog by ipleaders]Q.If Y marries Z, X will pay Y some sort of consideration. Z, however, weds A. What is the current state of this contract?a)Given the potential for divorce in the future, the pact is still enforceable.b)The agreement is still enforceable in a court of law, hence it is still legal.c)The contingency in this agreement has become impossible, so no, it is not valid.d)No, it isnt legal because the contract forbids marriage, which is illegal from the start.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CLAT tests.
Explore Courses for CLAT exam

Top Courses for CLAT

Explore Courses

Suggested Free Tests

Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Get App
© 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