FEATURES OF THE INDIAN CONTRACT ACT, 1872

 

              FEATURES OF THE INDIAN CONTRACT ACT, 1872:

 

In India, all contracts are covered/governed by the Indian Contract Act, 1872. Following are the various features of the Indian Contract Act;

 

1.   The Act received the assent of the Governor-General on 25^th of April 1872 and came into force on 1^st day of September 1872.

2.   The Act extents to whole of India

3.   The Act is not retrospective in operation and therefore it does not apply to the contracts entered into before the Act came into force (i.e., before the 1^st day of September 1872)

4.   The Act purports to define and amend certain parts of law relating to contracts.

5.   First Part of the Act (i.e., Section 1-75) deals with the General Principles of Law of Contracts and applies to all Contracts irrespective of nature of Contract

6.   Second Part of the Act (i.e., Section 124-238) deals with Special Contracts, respectively, indemnity, guarantee, bailment, pledge, agency etc.

7.   In 1930 Section 76-123 of the Act has been repealed and formed a new Statute called Sales of Goods Act,1932

8.   Section 239-266 of the Act dealing with partnership has been repealed by the Indian Partnership Act, 1932

9.   The provisions of Indian Contract Act continue to apply with contract relating to sales of goods, unless inconsistent with the provisions Sales of Goods Act, 1932 (as per Section-3 of the Act)

10.             The provisions of Indian Contract Act continue to apply with contract relating to Partnership, unless inconsistent with the provisions of Indian Partnership Act, 1932 (as per Section-3 of the Act)