FREE CONSENT U/SEC- 13 TO 22

FREE CONSENT

Meaning U/ sec 14 A consent will be considered as free consent if it is not taken by any of th e means mentioned below1. Coercion 2. Undue influence 3. Fraud 4. Misrepresentation 5. mistake

coreicion

mistake

Free consent
Mis representai on

Un due influence

fraud

Coercion
Coercion is the committing or threatening to commit , any set of forbidden by the Indian Penal code or the unlawful detain or the threatening to detain any property, to the prejudice of any person what ever , with the invention or causing any person to enter into an agreement.

Modes of coercion Physical harassment Threatening Scaring Stopping the property Any other work which is not acceptable in the Indian Penal code. Case- throwing of acid on the face, kidnapping Case- chasing the girls on bikes Case- holing hands in lab in jaipur university

Case
Rangnayamma Vs Alwarshetty the widow was not allowed to burn the dead body of her husband till she wont sign the document of property Amiraju Vs Sisamma A husband get signed the releases property deed by threatening of committing suicide Film- sholay, Veeru at water tank Holding the heroine or mom till the documents are not signed.

Effects of coercion
To proove that coercion is used is on the shoulders of aggreived party The act should come under coercion Case- Munna bhai forcing doctor to write his paper by beholding his father . Through they are playing carrom.

UNDUE INFLUENCE

meaning
Where the relations subsisting between the parties are such that one of the party is in position to dominate the will of the other. And uses the position to obtain an unfair advantage over the other. U/sec- 16

When undue influence can be usedA. Clear disparity of power between parties Case- boss and employee B. Fiduciary relationship Case- parent and children C. When one is mentally not fit Old age people Deaf and dump illitrate Case- nephew get will of all property

Fraud U/ sec- 17
Fraud means either the principal or any agent of him induce the person to enter into the contract by any of the followings act False suggestion Active concealment Any other act to fitted the device Omission which is considered as fradulent Keeping silence,even after knowing the facts

When it will be considered as fraud It can be proceeded by the principal or any representative of him vl be considered as fraud Even the grieved or any representative of him will be consider for the same It should be intended to cause Any act that means fraud only Even the omission which is considered as fraud by the law It should cause loss to the Other party

Types of fraud

Types of fraud By suggestion By active concealment By silence

By active concealment When statutory obligation of disclosure of material fact Contract of utmost faith 1. Family settlements 2. Fiduciary relations 3. Insurance contract 4. Contract of sale of land 5. Contact of guarntee

Contd..
Contracts related to purchase of shares of a company Partnership contract Bailment Though it is the responsibility of seller to tell the facts but the consumer should be aware the moment they purchase something

Fraud by silence
When speaking is the statutory responsibilty of the person Where silence it self is like speaking When it is delibrate

Effects of fraud
Voidable contract Affirmation is like accepting the wrong done late Restitution demand for money or any promise to do or not to do Penalty + punishment depends on the type of fraud

Misrepresentation U/sec 18 Misrepresentation includes 1. The positive assertion , an explicit and absolute statement of a fact , in manner not warranted by the info of the other person making it 2. Any breach of duty 3. Causing innocently to a party an agreement to make a mistake as the substance of the thing

Elements of misre, It should be factual not related to law The other person should have the confidence that it is not true It should not be intended to commit the fraud The party should get indulged indirectly due to this misrepresntation

Types of misrepresentation

Fraudulent misrepresentation

Innocent misrepresentation

By positive statement

By innocent representation

Modes of misrepresentation

By breach of duty

By causing mistake

effects of misre Voidable at the will of grieved party Affirmation resistution

Diff between the fraud n misre

fraud Purpose is to conduct the fraud Right to compensate Void contract Intentions are not good so truth is hidden misrepresentation Not to do so but it is done New contract can be conducted Do not have right to compensate Efforts can help in finding the truth Voidable can be conducted into void

MISTAKE

meaning
Where both the parties to an agreement are under a mistake as to a matter of fact essential to the agreement, the agreement is void. U/sec -20

types

Mistake of law

Mistake of fact

domestic

foreign

Mistake from both the sides

mistake as to expectation Mistake should be related to some essential fact Regarding subject matter

Mistake regarding identity of fact

Mistake of subject matter

Regarding the Existence

Regarding identity
regarding title About price of subject matter Quantity of subject matter Quality of subject matter Any other mistake

Effects of mistake
Contratct is voidable if it is in genral bu about the fact it is directly void In case of voidable Contract can be cancelled Can be sued Amount paid as advance has to be returned Compensation can be demanded, depends on intensity of loss