Performance of Contract
Performance of Contract means fulfilling the legal obligations respectively created under the contract by both the promisor and the promisee. Once the parties have entered into a contract, the next logical thing is to perform the respective parts of the promises that were agreed upon at the time of entering the contract. A contract is an agreement that is enforceable by law, creates a legal obligation on both parties to the contract, and exists until the contract is discharged. When the parties perform their part of the obligation, the contract gets fulfilled and discharged by performance.
Indian Contract Act 1872: Elements, Types and FAQs
The Indian Contract Act, which became operative on September 1, 1872, is among the country’s earliest commercial laws. This law offers rules to aid in the controlled and structured formulation and execution of contracts. The basis for the process of action to be taken if any disputes arise from the contracts is provided by these rules and regulations. Except for Jammu & Kashmir, the entire nation is covered by the 266 parts of the act.
Geeky Takeaways:
- Indian Contract Act, 1872 states that an agreement can only be formed when there is an offer from one party and an acceptance from the other party.
- As per the provisions of the act, people signing the contract must follow the law.
- The act further lays down provisions mentioning whether there is free consent between two parties.
- This provision mentions every party who enters into a contract, must be competent to understand its implications and consequences, and must agree to follow them.
Table of Content
- What is the Indian Contract Act, 1872?
- What is a Contract under the Indian Contract Act, 1872?
- Essential Elements of a Valid Contract
- Types or Forms of Contracts
- Performance of Contract
- Discharge of a Contract
- Breach of Contracts
- Remedies for the Breach of Contract
- Frequently Asked Questions (FAQs)