What is law?

Defination: Law includes all the rules and principles which regulate our relations with other individuals and with the state. State: Law as rules of external human action enforced by the sovereign political authority.

Object of LAW
The following are some of the objectives. To maintain law and order To establish socio-economic justice To remove imbalance in the socio-economic structure

Need for Law

Ignorance of law is no excuse. Nature of Law It deals with contractual situations and the right and obligations arising out of mercantile transactions between mercantile persons.

Contract
The law relating to contracts is contained in the Indian Contract Act,1872. Defination: It is an agreement made between two or more parties which the law will enforce. A contract essentially consists of two elements such as: Agreement Its enforceability by law

Agreement
Defination: Agreement is defined as every promise and every set of promises ,forming consideration for each other. A promise is defined as when the person to whom the proposal is made signifies his assent thereto ,the proposal is said to be accepted. The essence of agreement is the meeting of the minds of the parties in full and final agreement-Consensus ad idem Obligation: An agreement, to become a contract, must give rise to a legal obligation or duty

Essential Elements of A Valid Contract

An agreement must have the following essential elements: Offer and acceptance Intention to create legal relationship Lawful consideration Capacity of parties-competency Free and genuine Lawful object Agreement not declared void Certainty and possibility of performance Legal formalities

Classification of Contracts
Contracts may be classified as given below. (A) According to validity Valid contract Voidable contract Void, illegal and unenforceable contract (B) According to formation Express contract Implied contract Quasi-contract (C) According to performance Executed contract Executory contract Unilateral contract Bilateral contract

Classification of Contracts in English Law

Contracts in English law are classified into : Formal contracts Simple contracts