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  • Indian Contract Act, 1872

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    Bhakti Patel
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    Lalman Shukla found his employer Gauri Dutta's missing nephew without knowledge of a Rs. 500 reward that Gauri Dutta had announced. When Lalman Shukla asked for the reward, Gauri Dutta refused to pay. The question arose whether this constituted a valid contract between the two. The Allahabad High Court ruled that no contract existed because Lalman Shukla did not accept Gauri Dutta's offer of a reward, so Gauri Dutta was not obligated to pay Lalman Shukla the Rs. 500.

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    Lalman Shukla found his employer Gauri Dutta's missing nephew without knowledge of a Rs. 500 reward that Gauri Dutta had announced. When Lalman Shukla asked for the reward, Gauri Dutta refused to pay. The question arose whether this constituted a valid contract between the two. The Allahabad High Court ruled that no contract existed because Lalman Shukla did not accept Gauri Dutta's offer of a reward, so Gauri Dutta was not obligated to pay Lalman Shukla the Rs. 500.

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    56 views13 pages

    Indian Contract Act, 1872

    Uploaded by

    Bhakti Patel
    Lalman Shukla found his employer Gauri Dutta's missing nephew without knowledge of a Rs. 500 reward that Gauri Dutta had announced. When Lalman Shukla asked for the reward, Gauri Dutta refused to pay. The question arose whether this constituted a valid contract between the two. The Allahabad High Court ruled that no contract existed because Lalman Shukla did not accept Gauri Dutta's offer of a reward, so Gauri Dutta was not obligated to pay Lalman Shukla the Rs. 500.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
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    Download as pptx, pdf, or txt
    of 13

    Indian Contract Act,

    1872
    Presented by : Bhakti Patel
    BBA, Sec: C
    Case Study
    GAURI DUTTA VS LALMAN SHUKLA
    Allahabad High Court (1913)
    Three Main Character of the Case:
    Nephew
    LALMAN SHUKLA
    Gauri Dutt
    (SERVENT)
    One Fine Day
    Nephew Got missing
    Gauri Dutt
    One Fine Day
    Nephew Got missing
    Gauri Dutt
    Gauri Dutt sent his servant Lalman Shukla in search of
    his nephew.

    Gauri Dutt
    LALMAN SHUKLA
    (SERVENT)
    Gauri Dutt Announced

    Who so ever finds the missing


    Nephew will be rewarded with
    Rs. 500
    Lalman Shukla without knowing about the reward, finds the
    nephew and returns him to Gauri Dutt
    Gauri Dutt refuses to give reward
    money of Rs. 500 to Lalman Shukla
    Now Question Arises
    1. Does it become a Contract?

    2. Is he liable to get money from


    Gauri Dutt or not?
    What is a Contract?

    Section 2 (h) states that “ An agreement that is enforceable by law is a


    Contract”

    Contract = Agreement + Enforceable by law


    and,
    Agreement = Offer + Acceptance
    Essential of Offer & Acceptance

    Offer Acceptance
    • Existence of two parties • Acceptance must be Made within a
    • Offer much be made to create Reasonable Time
    legal obligation. • Acceptance may be express or
    • Offer may be express or implied. implied
    • Acceptance must be
    • Offer much be communicated. communicated to the Offeror.
    Judgment

    According to Indian contract Act 1872, Lalman


    Shukla is not liable to get award money because,
    offer given by the Gauri Dutt was not accepted by
    the Lalman Shukla, So Gauri Dutt bound to refuse
    the claim made by Lalman.

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