GENERAL CONSENT ATAU PERSETUJUAN UMUMFull description
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In 2007, while working on my bachelor's degree in criminal justice, I was required to attend a victimology class. Professor Muftic was awesome and I learned a lot, but one of the lessons inv…Full description
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PANDUAN INFORMED CONSENTFull description
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FREE CONSENT
BUSINESS LAW
GROUP MEMBERS
ALI SHAHID ( 084232-041 )
FAIZA KARAMAT ( 084232-007 )
QURAT_UL_AIN MEHMOOD ( 084232-014)
SADAF TASLEEM ( 084232-053 )
AMMAD UMER ( 084232-020 )
FREE CONSENT
SECTION 14 OF CONTRACT ACT 1872
“ The consent is said to be free when it is not caused by:
Coercion
Undue Influence
Fraud
Misrepresentation
Mistake
Consent is Not Free
Circumstances when consent is not free
Consent is Not Free
When Caused By
Coercion
Undue influence
Fraud
AGREEMENT VOIDABLE
Misrepresentation
Mistake
AGREEMENT VOID
FREE CONSENT
CONSENSUS AD IDEM
Both parties should agree to the same thing in the same sense.
NO CONSENT SO NO VALID CONTRACT
If there is no consensus ad idem among the contracting parties. There is no consent and therefore void contract.
COERCION
Section 15 of Contract Act 1872 1 872 defines coercion as
“ Coercion is the committing or threatening to commit, any act, forbidden by the law, or the unlawful detaining or threatening to detain any property, to the prejudice of any person whatever, with the intention of causing any person to enter into an agreement ”.
ESSENTIALS An act will amount to coercion if the following essentials are fulfilled:
There must be clear utterance of threat.
The threat should be to commit any forbidden act.
It must be uttered with the intention of causing the other party to enter into an agreement.
EXAMPLE OF COERCION
W threatens to shoot M, if he does not give his house on rent. M agrees. The consent of M has been obtained by coercion. The contract is voidable at the option of M.
UNDUE INFLUENCE
Section 16(1) of Contract Act 1872:“A contract is said to be induced by undue influence where the relations sustaining between the parties are such that one of the parties is in a position to dominate the will of the other, and uses that position to obtain an unfair advantage over the other”.
ESSENTIALS Essentials of undue influence:
The dominant party uses his dominant position.
The relation existing between the parties should be such that one or the other party is in a position to dominate the will of the other.
The dominant party obtains an unfair advantage over the other.
EXAMPLE OF UNDUE INFLUENCE
“A, a police officer bought a property worth Rs.1 Lac for Rs.5,000 from B, an accused under his custody. Later on B sued to cancel the contract on the ground of undue influence. Here A, a police officer is in a position to dominate the will of B( the accused).”
FRAUD
DEFINING FRAUD:
“Fraud means, acts committed by a party with intent to deceive another party or to induce the other party to enter into the contract”.
ESSENTIALS OF FRAUD The following are the essentials of fraud:
The representation must be false.
The representation must have been made to induce the other party to enter into a contract.
The representation must have been made with the knowledge of its being false.
The other party must have relied upon the representation.
The other party must have suffered a loss.
EXAMPLE OF FRAUD MERE SILENCE NOT FRAUD: “ A vendor who who sells an an unsound horse but says nothing about its quality commits no fraud.” In such cases there is no duty to speak and silence does not amount to fraud. Similarly there is no duty to disclose the facts that both parties are aware of.
MISREPRESENTATION
Defining Misrepresentation “An innocent misstatement of fact about the contract, made by one party to induce the other party to enter into a contract.”
ESSENTIALS OF MISREPRESENTATION Following are the essentials of misrepresentation:
The representation should be made innocently and believing it to be true.
The representation must be untrue.
It must be made without any desire to deceive the other party.
The other party must suffer a loss.
EXAMPLE OF MISREPRESENTATION
In a contract of sale of motorcycle the seller made a representation that it is free from defects. But in fact there was an inherent defect in the motorcycle. The buyer due to mistake purchased the motorcycle. There is a misrepresentation.
MISTAKE
“ The term mistake is used in contract law to describe a situation in which one or both parties to an agreement acted under an untrue belief about the existence or nonexistence of a material fact.”
ESSENTIALS The following conditions must be fulfilled;
There must be a mistake as to the formation of the contract.
It must be mistake of fact.
It must be about a fact essential to the agreement.
KINDS OF MISTAKE OF FACT Mistake cases are classed as mutual or unilateral, depending on whether both or only one of the parties were acting under a mistaken belief.
BILATERAL MISTAKE: Where both the parties to an agreement are acting under mistake. Where there is a bilateral mistake the agreement is void.
EXAMPLE:
“ A contracts B to sell his car. Both the parties thank it is in A’s garage. Actually the car was stolen before the agreement. The agreement is void.”
EXAMPLE OF MISTAKE
UNILATERAL MISTAKE:
When in a contract only one party is at mistake regarding the terms of the agreement.
EXAMPLE:
“ A wants to contract only with B, but makes a contract with C; believing him to be B.”
