What distinguishes a contingent contract from an absolute contract?

Contingent contracts depend on events.

• Obligations depend on specific events.

• Absolute contracts require performance always.

• Contingent contracts have conditions.

Fill in the blank: A contract that becomes void if a certain event does not happen within a fixed time is said to be contingent on ___ within a fixed time.

A specified event

Explain the implications of Section 32 of the Indian Contract Act regarding contingent contracts.

Contingent contracts depend on events.

• Contracts are unenforceable until events occur.

• If events fail, contracts are void.

• This protects parties from uncertain outcomes.

True or False: A contingent contract can be enforced if the event it depends on is certain to occur.

False. If the event is certain, the contract is due to be performed and is not contingent.

Riddle: I depend on a future event to trigger my obligations, but if that event never happens, I am void. What am I?

A contingent contract

Describe a scenario that exemplifies a quasi-contract.

A quasi-contract example scenario.

• Goods mistakenly left.

• Person consumed the goods.

• Law requires payment obligation.

Fill in the blank: The law imposes obligations in a quasi-contract based on ___, justice, and good conscience.

Equity

What are collateral events in the context of contingent contracts?

Collateral events are those not directly related to the performance promised in the contract but trigger the obligations under it.

Identify one essential feature that differentiates a quasi-contract from a traditional contract.

A quasi-contract does not require the essential elements of a valid contract, as its obligations are imposed by law rather than by mutual consent.

True or False: A contract contingent on an impossible event is valid and enforceable.

False. It is void since the occurrence of an impossible event cannot be guaranteed.

What happens to a contingent contract if the specified event becomes impossible to occur?

The contract becomes void, as it relies on the occurrence of an event that can no longer take place.

Fill in the blank: In a conditional sale, a buyer must secure a ___ before the contract becomes binding.

Bank loan

How does Section 71 of the Indian Contract Act relate to the responsibilities of a finder of goods?

Finder must care for lost goods.

• Legal responsibility to protect.

• Acts as a bailee for owner.

• Must return to rightful owner.

Riddle: I am an obligation without a formal contract, arising from circumstances. What am I?

A quasi-contract

Explain why a contract contingent on a person's actions becomes unenforceable.

Contingent contracts can become unenforceable.

• Dependent on specific actions.

• Impossible actions void contracts.

• Legal principles govern enforceability.