Court : Chennai
Reported in : (1992)1MLJ93
..... within the rights of the offeree to go back or withdraw from the contractual commitment. a reading of sections 3 to 6 of the indian contract act, 1872 will substantiate the above indisputable position of law and illustration (c) to section 4 as well as section 5 and the illustrations ..... for the appellant to work out its remedies before the ordinary civil courts or by means of an arbitration proceedings, as contemplated under the contract; but resort to the proceedings under article 226 of the constitution of india is inappropriate and ill-conceived. in our view, the learned single ..... the appellant, had been conveying their willingness periodically by extending the period of the validity of the tender, by itself shows that no concluded contract came into existence between the parties, which the appellant can get enforced. equally, the position does not change or get altered by the stand ..... resolutions in the course of the court proceedings cannot be equated with the communication of an acceptance of the offer so as to constitute a contract or bring into existence any contractual relationship for sustaining a claim, justiciable in law. as already noticed, the fact that admittedly even after ..... been communicated to the offer or. in other words, the formation of the intention is not enough and external manifestation of the same by an explicit act of communication to the other party is an essential ingredient to make the contract complete and irrevocable, since before that it shall always be .....Tag this Judgment!
Court : Chennai
Reported in : AIR1954Mad119; (1953)IIMLJ372
..... on contracts, 13th edn. by p. h. winfield the principle is stated as follows at p. 232:'after the formation of a contract, certain sets of circumstances arise which, owing to the fault of neither party, render fulfilment ..... of frustration is raised, what the court has to consider is not whether one party or the other has done anything from which his responsibility for any breach of contract could be ascertained, but to see whether the circumstances pleaded did exist which could reasonably be considered as sufficient to hold that the parties are absolved from their obligations ..... reason of some event which the promisor could not prevent, unlawful becomes void when the act becomes impossible or unlawful.'in pollock ..... the result is the parties to the contract are discharged from their obligations under the contract. this common law principle of frustration has received statutory recognition by its incorporation in the indian; contract act in section 56 which is as follows :'an agreement to do an act impossible in itself is void. a contract to do an act which, after the contract is made, becomes impossible or by .....Tag this Judgment!
Court : Chennai
Reported in : AIR1932Mad474; (1932)62MLJ720
..... . (1919) 43 m. 75 : 37 m.l.j. 663 (s.b.). the question before the full bench arose in connection with a reference made under section 51 of the indian income-tax act (vii of 1918). the full bench held that the assessee on whose application the reference was made by the board of revenue was entitled to be heard first in ..... and the power to hold property, to enter into contracts, to institute and defend suits and other legal proceedings, and to do all things necessary for the purposes of its constitution.' see also section 23 of the indian companies act. see also section 253 of the indian companies act which speaks of companies existing before that act and of other companies which could be registered under ..... at a later stage he was compelled to modify that contention and to admit that the corporation claims under section 110 of its act to collect companies' tax from companies other than those incorporated under the indian companies act--from companies incorporated anywhere, which by conducting business in madras become liable to that tax. he has urged however that the banks with which ..... the word 'incorporated'. in wharton's law lexicon, 'incorporation' is stated to mean 'the formation of a legal body with the quality of perpetual existence and succession except as limited by the royal charter or act of parliament effecting the incorporation.' registration under the co-operative societies act (ii of 1912) satisfies the requirements of the definition of the word 'incorporation' as given .....Tag this Judgment!
Court : Chennai
Reported in : AIR1955Mad662; (1956)IMLJ78
..... must be deemed to have been paid under a mistake of fact. the learned judge was of opinion that the case came directly under section 72, contract act. the reasoning of the learned judge was as follows :"money having been paid under a mistake of fact that the price was what was quoted by ..... to be given away as a gift or a present to the appellants by any means, and such being the case, i am of opinion that section72. contract act comes into operation and applies to the facts of the case." lakshmana prasada and sons v. achuthan nair, (a).2. two contentions' were raised on ..... privy council in air 1949 p c 297 (c). their lordships said, at page 302."their lordships do not find it necessary to examine in detail the indian authorities for the wider interpretation of 'mistake' in section 72. they would only refer to the latest of these authorities; air 1940 cal 245 (13), ..... paid as money rightly payable under the contract, as it stood. the payment was not by mistake; it was the contract which was entered into on a mistaken assumption that the price was rs. 9135. but the mistake occurred at the time of the formation of the contract. once the contract had come into existence, there was ..... no mistake made so far as the payment was concerned. what was paid was what was due under the contract. this distinction, the learned judge apparently overlooked.6. it is this .....Tag this Judgment!
Court : Chennai
Reported in : (1983)IILLJ277Mad
..... terms and conditions contained in g.o.ms. no. 731, industries, dated 21.5.1974 is void and unenforceable as per section 20 of the indian contract act, 1872 because it has been passed by a mistake and is not based on free consent, as per section 14(5) of the said ..... said to be under a mistake when they passed the earlier order of the year 1974. therefore, this case will squarely come under s. 22 of the contract act as the government order of the year 1974 is claimed to have been passed by the government under a mistake as to a matter of fact. it is ..... pleader that the earlier g.o. of the year 1974 is void as it is not based on free consent as per section 14(5) of the contract act, it is seen that the mistake pleaded is unilateral and not mutual. i do not see how it could be said that there is no free consent ..... the technique of modern manufacturing in various sectors during the 2nd, 3rd and 5th plan periods. in or about february, 1960, the government of india recommended the formation of an autonomous corporation for the management of industrial estates and for taking up of programme of commercial nature like production scheme, establishment of marketing, raw material depot ..... not be available as a cause of action, if necessary to satisfy the equity. according to the supreme court, promissory estoppel is neither in the realm of contract nor in the realm of estoppel and the true principle of promissory estoppel seems to be that where one party has by his words or conduct made to .....Tag this Judgment!
Court : Chennai
Reported in : AIR1926Mad168; 92Ind.Cas.968; (1925)49MLJ791
..... by way of wager and is invalid on that account, he is still entitled to get a refund of the amount claimed by him either under section 65 of the indian contract act, or on the ground that the agreement to return that amount is severable from the arrangement to give the prize. i entirely agree with the opinion of odgers, j. in ..... not become void nor was it discovered to be void but it was void for illegality from its inception [see indian contract and specific relief acts by pollock and mulla, 4th edition, pp. 365-368] ; and the object of the subscription, which was the formation of an association for conducting an unlawful system of lottery has been accomplished. when money has been paid under ..... by an 'agreement by way of wager,' we have to determine whether the present case has been rightly decided by the learned district munsif.12. the indian contract act does not contain any. definition of a ' wagering contract.' s. 30 states that agreements by way of wager are void. in thacker v. hardy (1878) 4 qbd 685 cotton, l.j. said : 'the essence of ..... respondent is entitled to recover the money which he subscribed either upon the terms of the contract between him and the petitioner, or by reason of the obligation cast by s. 65, indian contract act, upon persons who have received any advantage, of restoring it upon an agreement or contract becoming void or being discovered to be void.2. the mere fact that the order .....Tag this Judgment!
Court : Chennai
Reported in : AIR1951Mad439; 18ITR849(Mad); (1950)2MLJ777
..... statute there in force the place of the source from which the income or profit was derived was important and therefore the decision is of no assistance under the indian act. the decision in international harvester co. of canada ltd, v. provincial tax commission, 1949 a. c. 36: a. i. r. 1949 p. c. 72 ..... its component parts and the situation of each of such part cannot be taken as the place of accrual of profits. for example, the place of formation of contract in the case of purchase of goods may be at one place and the sale may be at a different place, the profits of the business of ..... where the profits come into existence. here the assessees had an agent in calcutta and a depot in bombay, the goods were stocked in those places, contracts for sale of the goods were entered into and deliveries of the gooda were effected in those places and the price was realised by payment to the account ..... the operations of a single business which contribute to the emergence of profits could not be cut up into parts and profits arise at the place where the contracts of purchase and sale are made and monies are realised. the decision in s. l. mathia's case , serves only to emphasise the difficulty of a ..... at a profit. the company exported also tallow, part of which was produced by the company's own operations and the remainder was bought in australia. the contracts for the sale of the meat and tallow were made and performed in england, but the net proceeds were brought to australia. it was held by the .....Tag this Judgment!
Court : Chennai
Reported in : (1902)ILR25Mad26
..... edition page 528; bhugwandas mitharam v. rivett-carnac l.r. 26 indap 32 : i.l.r. 23 bom. 544 and also section 241 of the indian contract act. as the rate of interest claimed is the ordinary 12 par cent., rate which is current among persons of the class to which the parties belong, the ..... principle of the english common law as to the operation of a release given by one of two or more joint promisees, is not affected by the indian contract act, and is the law here, as held in barber maran v. ramana goundan i.l.r. 20 mad. 461 already cited, it is clearly ..... there was a complete dissolution of the partnership (section 253, clause 10 of the indian contract act), for it is not alleged or proved that there was a contract to the contrary antecedent to such dissolution, the existence of which contract would have barred the dissolution of the partnership, so far as the four surviving partners ..... . primd facie the present suit brought in 1898 for an account of the partnership would be barred by article 106 of schedule 2 of the indian limitation act, which requires such a suit to be brought within three years from the date of the dissolution of partnership. the bar by limitation is, ..... were concerned. the fact that the surviving partners did carry on the same business in partnership among themselves would only amount in law to the formation of a new partnership and .....Tag this Judgment!
Court : Chennai
Reported in : AIR1963Mad249; (1963)IMLJ171
..... . the learned judges allowed this to be done substantially for two reasons: (1) that the debtor was entitled to relief under section 72 of the contract act as the payment of excess interest was made under a mistaken belief that in law the plaintiff was entitled to a higher rate of interest; (2 ..... could not obviously be recovered back under section 72 of the indian contract act. the distinction between a case where a payment unrelated to an antecedent contract is made under a mistake of law and a case where such payment is made under a contract which was induced by a mistake of law has been ..... due by them either by wiping out the outstanding interest or reducing the rate of interest agreed to be paid by an agriculturist on loan contracted by him. the act classifies the debts into three categories: (1) those incurred prior to the 1st october 1932; (2) those incurred after the 1st october ..... for scaling down. the rate of interest is reduced to five per cent, per annum simple interest and the amount paid, notwithstanding its appropriation at the contract rate is re-appropriated at this statutory rate of interest and the balance if any is adjusted towards principal (vide veeraraju v. balakotiswara rao, : air1951mad67 ..... lj): (at p. 302 of air): 'if a mistake of law has led to the formation of a contract, section 21 enacts that that contract is not for that reason voidable. if money is paid under that contract, it cannot be said that that money was paid under mistake of law; it was paid because .....Tag this Judgment!
Court : Chennai
Reported in : AIR1951Mad551; 18ITR333(Mad)
..... formation of the contracts took place in bombay and that therefore the place where the profit was earned by the assessee was bombay and not outside british india. this contention was not accepted by the privy council. sir george rankin dealing with the provisions of the act as they then stood, pointed out that the english decisions offered no guide in interpreting the indian act ..... , (1881) 8 q. b. d. 414 ; 51 l. j. q. b. 86. they are not saying that the place of formation of the contractprevails against everything else. in some circumstances it may be so, but other matters--acts done under the contract, for example--cannot be ruled outa priori, in the case before the board the contractswere neither framed nor carried out in ..... as the indian act ..... british india is well founded.'from this summary it follows that the place of formation of the contract need not be taken as decisive of the question of the place of accrual. acts done under the contract, in other words, the performance of the contract, may be taken into consideration. if the contracts were neither framed nor carried out in british india, it would be a .....Tag this Judgment!