Definition: In contract law, a mistake refers to the innocent belief about something by one or both parties at the time of entering into a contract that certain facts are true, resulting in a misunderstanding in the parties. It is an unintentional act resulting from ignorance, forgetfulness or inattentiveness. It is among the five elements that vitiate free consent, the … [Read more...] about Mistake
Business Law
Ratification
Definition: Ratification is one of the modes of creation of a contract of agency. In ratification, a person who is not authorized professes to act as an agent of another person or an agent who is duly appointed, performs an action on behalf of the principal which is beyond his/her periphery and the principal does not have any knowledge of the same, then in such a case, the … [Read more...] about Ratification
Void Agreement
Definition: Void Agreements refers to those agreements which are legally unenforceable. So, it does not amount to any rights or obligation as per law. These do not have any legal effect and so they cannot be enforced under the court of law, as well as it does not give any rights to the immediate parties. Agreements Expressly Declared Void There are certain agreements which … [Read more...] about Void Agreement
Green Tax
Definition: Green Tax is a type of excise duty which the government imposes on those vehicles which cause the dispersal of pollutants in the environment. The motive behind the introduction of a green tax is to prevent people from anti-ecological behaviour and make them more aware of environmental concerns. Another way to see this tax is that it is a fee on those vehicles which … [Read more...] about Green Tax
Auction Sale
Definition: An auction sale is a public sales event for a property or good in which the bidders are invited to place competitive bids. In this, the bidder who places the highest bid buys the product or property under auction. For this purpose, many prospective buyers arrive at the decided time and venue for participating in the event. In short, an auction sale refers to the … [Read more...] about Auction Sale
Power of Attorney
Definition: Power of Attorney (POA) implies a legal authority which designates a person the power to take decisions on behalf of someone else. It is essential in the event when the principal is incapacitated or not present in person to take a decision. The Power of Attorney Act 1888 regulates power of attorney. Basically, POA is binding in nature. This means that it is a … [Read more...] about Power of Attorney
Quasi Contract
Definition: Quasi Contract is a retroactive agreement, determined by a judge with an aim of correcting a situation wherein one party obtains something at the cost of another party. It stops one party from getting an unfair advantage from the situation. It takes place when a dispute exists against the payment of goods and services. Thus such arrangements rely on the court's … [Read more...] about Quasi Contract
Contract of Guarantee
Definition: Contract of Guarantee refers to a contractual arrangement in which one party gives a guarantee for another regarding the fulfillment of a promise or repayment of the debt when the latter fails to discharge the liability or perform the undertaking. That is to say, guarantee means to stand for another person and in a contract of guarantee, the surety assures … [Read more...] about Contract of Guarantee
Negotiable Instrument
Definition: Negotiable Instrument implies a financial document used for fund transfer from one person to another. Basically, it is an instrument that bears the signature of the maker, promising payment of a specified sum to the person whose name is written on it, or the assignee, either on-demand or on a future specified date. Further, the negotiable instrument creates a … [Read more...] about Negotiable Instrument
Conciliation
Definition: Conciliation is a process in which the third party persuades the parties in dispute to amicably settle the claims. It is one of the effective and private methods of dispute resolution, in which the conflicting parties take the help of a conciliator voluntarily, who discuss the matter with them, with an aim of settlement of the dispute without going to the … [Read more...] about Conciliation