1. Enumerate all the possible sources of an obligation.

An obligation is a legal or moral duty to do something or refrain from doing something. There are
several possible sources of an obligation, including:

1. Contract: An obligation can arise from a legally binding agreement between two or more parties.
This can include contracts for goods or services, employment contracts, or lease agreements.

2. Law: Obligations can be imposed by law, such as tax obligations or obligations to comply with
regulations. These obligations are typically enforced by government agencies or the courts.

3. Tort: Obligations can arise from a wrongful act or omission that causes harm to another person,
such as in cases of negligence or intentional harm. The injured party may be entitled to
compensation for their damages.

4. Quasi-contract: Obligations can arise from a situation where there is no formal contract, but one
party has received a benefit from another party and it would be unjust for them not to compensate
the other party. This is also known as a "contract implied in law."

5. Unjust enrichment: Obligations can arise from a situation where one party has received a benefit
at the expense of another party, and it would be unjust for them to keep the benefit without
compensating the other party. This is also known as a "quasi-contract implied in fact."

6. Equity: Obligations can arise from principles of equity, such as in cases where a person has been
unjustly enriched or where there is a fiduciary relationship between parties. Equity is often used to
provide relief in situations where the law does not provide a remedy.

7. Custom: Obligations can arise from established customs or practices within a particular
community or industry. These obligations may not be enforceable by law, but they can be important
in shaping social norms and expectations.

2. What are the main points of difference between legal

obligations and contractual obligations?
Legal obligations and contractual obligations are both types of obligations, but they differ in several
key ways:
1. Source: Legal obligations arise from the law, while contractual obligations arise from a contract
between two or more parties.
2. Enforcement: Legal obligations are enforced by the government or the courts, while contractual
obligations are enforced by the parties to the contract.
3. Scope: Legal obligations can be broader in scope than contractual obligations, as they can apply
to all members of society. Contractual obligations are limited to the parties to the contract.
4. Flexibility: Contractual obligations are more flexible than legal obligations, as the parties can
negotiate the terms of the contract to suit their needs. Legal obligations are generally fixed by the
law.
5. Remedies: The remedies for breach of legal obligations are typically more severe than the
remedies for breach of contractual obligations. For example, a person who breaches a legal
obligation may be subject to fines, imprisonment, or other penalties. A person who breaches a
contractual obligation may be required to pay damages or specific performance.
6. Duration: Legal obligations can be permanent or long-lasting, while contractual obligations are
typically limited in duration to the term of the contract.
In summary, legal obligations are imposed by the law and are enforced by the government or the
courts, while contractual obligations arise from a contract between parties and are enforced by the
parties themselves. Legal obligations are generally broader in scope and less flexible than
contractual obligations, and the remedies for breach of legal obligations are typically more severe.

3. What do we mean by an agreement?

An agreement is a mutual understanding or arrangement between two or more parties regarding
their rights and obligations. It can be a formal or informal arrangement, and it can be written or
verbal. An agreement can be legally binding or non-binding, depending on the intention of the
parties and the legal requirements of the jurisdiction in which it is made.
In order for an agreement to be valid and enforceable, it must meet certain requirements. These
include:
1. Offer: One party must make an offer to the other party, indicating their willingness to enter into
an agreement.
2. Acceptance: The other party must accept the offer, indicating their agreement to the terms of the
agreement.
3. Consideration: There must be some form of consideration, such as money, goods, or services,
exchanged between the parties as part of the agreement.
4. Capacity: The parties must have the legal capacity to enter into the agreement, meaning they
must be of legal age and have the mental capacity to understand the terms of the agreement.
5. Legality: The agreement must be for a legal purpose and not violate any laws or public policy.
Once an agreement is made, the parties are bound by its terms and are obligated to fulfill their
respective obligations under the agreement. If one party breaches the agreement, the other party
may have legal remedies available to them, such as damages or specific performance.

4. What is the main difference between an agreement and a

contract?
An agreement and a contract are similar in that they both involve a mutual understanding or
arrangement between two or more parties regarding their rights and obligations. However, there are
some key differences between the two:

1. Legally binding: A contract is a legally binding agreement, while an agreement may or may not
be legally binding. A contract is enforceable by law, while an agreement may not be.
2. Formality: A contract is a formal agreement that is usually in writing and signed by the parties,
while an agreement can be formal or informal and may not be in writing.
3. Consideration: A contract requires consideration, which is something of value that is exchanged
between the parties, while an agreement may or may not involve consideration.
4. Specificity: A contract is usually more specific and detailed than an agreement, as it outlines the
specific terms and conditions of the agreement, while an agreement may be more general in nature.
5. Legal requirements: A contract must meet certain legal requirements, such as being in writing and
signed by the parties, while an agreement may not have to meet these requirements.
In summary, a contract is a legally binding agreement that is usually in writing and requires
consideration, while an agreement may or may not be legally binding, can be formal or informal,
and may or may not involve consideration. A contract is usually more specific and detailed than an
agreement and must meet certain legal requirements to be enforceable

5. Can you enumerate some agreements, which do not result in

a contract?
Yes, there are some agreements that do not result in a contract. These include:
1. Social agreements: Agreements made between friends or family members for social purposes,
such as agreeing to meet for dinner or go on a trip together, are generally not intended to be legally
binding.
2. Preliminary agreements: Agreements made during the negotiation stage of a potential contract,
such as a letter of intent or memorandum of understanding, may not be intended to be legally
binding.
3. Agreements without consideration: Agreements that lack consideration, such as a promise to
make a gift or a promise to do something without receiving anything in return, are generally not
legally binding.
4. Agreements with uncertain terms: Agreements that are too vague or uncertain, such as an
agreement to "do something in the future," may not be legally binding.
5. Agreements with minors: Agreements made with minors, who are not yet of legal age, are
generally not legally binding.
6. Agreements made under duress: Agreements made under duress, such as when one party is
threatened or coerced into agreeing to something, are generally not legally binding.
7. Agreements against public policy: Agreements that violate public policy, such as agreements to
commit a crime or engage in illegal activities, are not legally binding.
It's important to note that even if an agreement does not result in a contract, the parties may still be
morally or socially obligated to fulfill their promises or obligations under the agreement.
6. What are the requirements of an agreement?
An agreement is a mutual understanding or arrangement between two or more parties regarding
their rights and obligations. In order for an agreement to be valid and enforceable, it must meet
certain requirements. These include:
1. Offer: One party must make an offer to the other party, indicating their willingness to enter into
an agreement.
2. Acceptance: The other party must accept the offer, indicating their agreement to the terms of the
agreement.
3. Consideration: There must be some form of consideration, such as money, goods, or services,
exchanged between the parties as part of the agreement.
4. Capacity: The parties must have the legal capacity to enter into the agreement, meaning they
must be of legal age and have the mental capacity to understand the terms of the agreement.
5. Legality: The agreement must be for a legal purpose and not violate any laws or public policy.
6. Intention to create legal relations: The parties must have the intention to create legal relations,
meaning they must intend for the agreement to be legally binding.
7. Certainty: The terms of the agreement must be certain and not vague or ambiguous.
8. Free consent: The agreement must be entered into freely and voluntarily by the parties, without
any undue influence, coercion, or misrepresentation.
Once an agreement is made, the parties are bound by its terms and are obligated to fulfill their
respective obligations under the agreement. If one party breaches the agreement, the other party
may have legal remedies available to them, such as damages or specific performance.

7. What do we mean by the principle of Freedom of contracts?

The principle of freedom of contracts is a legal principle that allows individuals and businesses to
enter into contracts freely and voluntarily, without interference from the government or other third
parties. This principle is based on the idea that individuals and businesses should have the freedom
to make their own decisions and enter into agreements that best suit their needs and interests.
Under the principle of freedom of contracts, parties are generally free to negotiate and agree to the
terms of a contract as they see fit, as long as the contract is not illegal or against public policy. This
means that parties can agree to any terms they wish, including the price, payment terms, delivery
dates, and other terms and conditions.
However, the principle of freedom of contracts is not absolute. There are certain limitations on this
principle, such as laws that regulate certain types of contracts, such as employment contracts,
consumer contracts, and contracts involving real estate. Additionally, contracts that are entered into
under duress, fraud, or undue influence may be considered invalid or unenforceable.
Overall, the principle of freedom of contracts is an important legal principle that allows individuals
and businesses to enter into agreements freely and voluntarily, while also ensuring that contracts are
fair and equitable for all parties involved.
8. What do we mean by the principle of sanctity of
contracts?
The principle of sanctity of contracts is a legal principle that emphasizes the importance of
upholding the terms of a contract once it has been entered into. This principle is based on the idea
that contracts are legally binding agreements that create rights and obligations for the parties
involved, and that these rights and obligations should be respected and enforced by the courts.
Under the principle of sanctity of contracts, parties are expected to fulfill their obligations under the
contract, and any breach of the contract can result in legal consequences, such as damages or
specific performance. This principle is important because it provides certainty and predictability in
business transactions, and allows parties to rely on the promises made in the contract.
However, the principle of sanctity of contracts is not absolute. There are certain circumstances
where a contract may be invalidated or modified, such as when there is a mistake, fraud, duress, or
undue influence involved in the formation of the contract. Additionally, some contracts may be
unenforceable if they violate public policy or are illegal.
Overall, the principle of sanctity of contracts is an important legal principle that emphasizes the
importance of upholding the terms of a contract once it has been entered into, while also
recognizing that there may be circumstances where a contract may be invalidated or modified.

9. What do we mean by the doctrine of privity of

contracts?
The doctrine of privity of contracts is a legal principle that states that only the parties to a contract
have rights and obligations under that contract. This means that a third party who is not a party to
the contract generally cannot enforce the terms of the contract or be held liable for any breach of the
contract.
Under the doctrine of privity of contracts, a contract creates a legal relationship only between the
parties who have entered into the contract. This means that a third party who is not a party to the
contract, such as a family member or friend of one of the parties, cannot enforce the terms of the
contract or be held liable for any breach of the contract.
However, there are some exceptions to the doctrine of privity of contracts. For example, a third
party may be able to enforce the terms of a contract if they are a beneficiary of the contract, such as
in the case of a life insurance policy or a trust. Additionally, a third party may be able to enforce the
terms of a contract if they have been assigned the rights under the contract by one of the parties.
Overall, the doctrine of privity of contracts is an important legal principle that emphasizes the
importance of the parties to a contract and their rights and obligations under that contract, while
also recognizing that there may be some exceptions where a third party may be able to enforce the
terms of the contract.

10. List and discuss the remedies for non-performance

When one party to a contract fails to perform their obligations under the contract, the other party
may seek remedies for non-performance. There are several remedies available for non-performance,
including:
1. Damages: Damages are a monetary award that is intended to compensate the non-breaching party
for the loss suffered as a result of the breach of contract. The amount of damages awarded will
depend on the nature and extent of the loss suffered by the non-breaching party.
2. Specific performance: Specific performance is a remedy that requires the breaching party to
perform their obligations under the contract. This remedy is typically used in cases where the
subject matter of the contract is unique or where damages would not adequately compensate the
non-breaching party.
3. Injunction: An injunction is a court order that requires the breaching party to stop doing
something or to take a specific action. This remedy is typically used in cases where the breach of
contract would cause irreparable harm to the non-breaching party.
4. Rescission: Rescission is a remedy that allows the non-breaching party to cancel the contract and
be released from their obligations under the contract. This remedy is typically used in cases where
the breach of contract is so significant that it undermines the entire purpose of the contract.
5. Reformation: Reformation is a remedy that allows the court to modify the terms of the contract to
reflect the true intentions of the parties. This remedy is typically used in cases where there was a
mistake or misunderstanding in the formation of the contract.
The choice of remedy will depend on the specific circumstances of the case and the nature of the
breach of contract. It is important to consult with a legal professional to determine the appropriate
remedy for non-performance in a particular case. Seeking legal advice can help ensure that the non-
breaching party's rights are protected and that they receive the appropriate remedy for the breach of
contract.