Distinction between void and Voidable Contract

Document Sample
Distinction between void and Voidable Contract Powered By Docstoc
					Distinction between Void and Voidable Contract
Brief Notes (Conceptual)
Moughera Waqas

Terms used in this Essay
Offerror/Proposer the person who offers something or some work etc.
Offeree            the person to whom something or work is offered.
Promisor           the person who promises to give, pay or do something.
Promise            the person to whom the promise is made.
Acceptor           the person who accepts the promise
Consideration      what ever is given in return of something (a house in return of money, money in return of a house)

Void Contract                                               Voidable Contract

It is not enforceable by law                                It is enforceable by law on the option of one or
                                                            more of the parties, but not at the option of the
It is not performable by either of the parties              The performance of a voidable contract is
It cannot become a voidable contract                        Voidable can become a void contract
A void contract is not enforceable by the court             It is enforceable at the option of the aggrieved
of law                                                      party
Because it does not has any capacity of                     The aggrieved party can claim the
performance thus also does not has the                      compensation
compensation capacity
Any party has the right to object on a void                 Only the aggrieved party has the right to the
contract                                                    objection
It is void at the very beginning                            It is a valid contract until or unless it is avoided
The collateral agreement and contract also                  It does not affect the collateral agreement
becomes void due to illegal objective

These Notes present just the concepts. Errors and omissions are acceptable. This paper should not be used
in making any reference to the original text. This paper was prepared for personal notes. For more and
further detailed discussion on any of the topics. Please feel free to ask from MOUGHERA@GMAIL.COM .
As I don’t get much time to reply all the e-mails in time or on time, but I reply to all of them. You can also
avail the notes, term papers and the class discussion papers as well. You can request for the notes and the
papers at the preceding e-mail address. You can ask questions, comment and query on the subjects of Law,
Audit, Economics, Business Communication.

Shared By: