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CMA Intermediate · Business Laws and Ethics · Indian Contracts Act, 1872

Under the Indian Contract Act, 1872, an agreement becomes a contract when it is made with certain features. Which of the following is NOT required for an agreement to be a valid contract?

Writing and registration are not required for every valid contract. A contract needs free consent, competent parties, lawful consideration and object, and must not be expressly declared void. Writing or registration is necessary only where some particular law specifically requires it.

  1. AFree consent of parties competent to contract
  2. BA lawful object and lawful consideration
  3. CThat the agreement be in writing and registered in every caseCorrect
  4. DThat the agreement is not expressly declared void

Explanation

Section 10 requires free consent, competent parties, lawful consideration and object, and that the agreement is not expressly declared void. Writing and registration are needed only where a specific law demands them, not for contracts generally. The other three options are essentials of a valid contract.

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