KSLU Solved Question Papers
Contract I
Previous Year Question Paper with Solution
B.A. LL.B. (Five Years) · Sem 4
2025 Jan Examination
munotes.in
Mumbai
B.A. LL.B. (Five Years) Sem 4 Contract I 2025 Jan Question Paper with Solutions
First published on munotes.in on 21 October 2026.
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The question paper reproduced here is the paper as set by Karnataka State Law University at the 2025 Jan examination.
Contents
The questions below are the paper as Karnataka State Law University set it at the 2025 Jan examination, in the order it was set.
MarksPage
MarksPage
The Paper as Set
The questions in this volume are the questions asked at the 2025 Jan examination, reproduced as Karnataka State Law University set them, in the order it set them. Long reading passages are shortened to their first and last lines and our summary; the original paper prints them in full. Only the answers are ours. See the original question paper.
Duration 3 hours · Total marks 80 · 20 questions answered
Instructions printed on the paper
- N.B. (1) Answer all five Units. (2) One essay type question and short note/problems is compulsory from each Units. (3) Figures to the right indicate marks. (4) Answer should be written either in English or Kannada completely.
How to use this volume
Solve the paper first, under exam conditions and against the clock. Then read the answers here and mark your own. Reading a solution before attempting the question feels productive and teaches very little, because recognising an answer is not the same as being able to write one.
Q1
Unit I
(a)"All contracts are agreements but all agreements are not contracts." Explain.[10]
Answer
For full marks, cover: the meaning of agreement (section 2(e)) and contract (section 2(h)); why every contract is an agreement; why some agreements are not contracts: the essentials in section 10 (free consent, competent parties, lawful consideration and object, not expressly void) and intention to create legal relations, each with an example or case (Balfour, Mohori Bibee, Durga Prasad, section 23 illustration, section 30 and Gherulal Parakh); a diagram-style table; a conclusion.
Agreement and contract
The statement compares two terms defined in the Indian Contract Act 1872.
- Agreement. Section 2(e): "Every promise and every set of promises, forming the consideration for each other, is an agreement". A promise arises when a proposal is accepted, under section 2(b). So an agreement is, in short, an offer plus its acceptance.
- Contract. Section 2(h): "An agreement enforceable by law is a contract".
The formula is often written as: contract = agreement + enforceability by law.
Why all contracts are agreements
A contract is defined as a kind of agreement. There can be no contract without an offer and an acceptance first. So every contract must begin as an agreement. The agreement is the wider class, and the contract a part of it.
Why all agreements are not contracts
An agreement becomes a contract only if the law will enforce it. Section 10 says: "All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void". An agreement that fails any of these tests is not a contract.
1. Intention to create legal relations. The parties must mean their agreement to have legal effect. Social and domestic agreements are presumed not to.
Balfour v. Balfour, [1919] 2 KB 571. A husband working in Ceylon promised his wife 30 pounds a month. When the marriage broke down he stopped paying. The Court of Appeal held that she could not sue. A domestic arrangement between husband and wife is not a contract.
2. Competent parties. Section 11 requires the parties to be of the age of majority, of sound mind and not disqualified by law.
Mohori Bibee v. Dharmodas Ghose, (1903) 30 IA 114. A minor's mortgage was held absolutely void. An agreement with a minor is an agreement, but never a contract.
3. Free consent. Under sections 14 to 22, consent caused by coercion, undue influence, fraud or misrepresentation makes the contract voidable. Consent given under a mutual mistake of an essential fact makes the agreement void under section 20.
4. Lawful consideration. Section 25 makes an agreement without consideration void, unless an exception applies.
Durga Prasad v. Baldeo, (1880) ILR 3 All 221. A promise of commission was made to a man who had built shops at the Collector's request, not the promisors'. The court held that there was no consideration, so the agreement was void.
5. Lawful object. Under section 23, an agreement with an unlawful object or consideration is void. Illustration (f): an agreement to pay money for obtaining a job in the public service is void.
6. Not expressly declared void. The Act itself declares some agreements void. Examples are agreements in restraint of marriage (section 26), of trade (section 27), and of legal proceedings (section 28), and uncertain agreements (section 29). Wagers are void under section 30.
Gherulal Parakh v. Mahadeodas Maiya, AIR 1959 SC 781. The Supreme Court held that a wagering agreement is void under section 30, though not unlawful under section 23. It is an agreement, but no court will enforce it.
7. Writing or registration where the law requires it. The last part of section 10 saves any law that requires a contract to be in writing or registered. An agreement for sale of land made in breach of such a law cannot be enforced.
At a glance
| Agreement | Contract? | Reason |
|---|---|---|
| A promises to sell his car to B for Rs 2 lakh, and B agrees | yes | all of section 10 satisfied |
| A invites B to dinner, and B accepts | no | no intention to create legal relations (Balfour) |
| A minor agrees to sell his land | no | incompetent party (Mohori Bibee) |
| Agreement | Contract? | Reason |
|---|---|---|
| A promises a commission for work done at another's request | no | no consideration (Durga Prasad) |
| A and B bet on a cricket match | no | wager, section 30 (Gherulal Parakh) |
Conclusion. Every contract begins as an agreement, an offer accepted, so every contract is an agreement. But only agreements enforceable by law are contracts. Section 10 sets the tests: free consent, competent parties, lawful consideration and object, and not being declared void. The courts add an intention to create legal relations. Social agreements as in Balfour and agreements with minors as in Mohori Bibee are agreements, but not contracts. So are agreements without consideration, as in Durga Prasad, and wagers, as in Gherulal Parakh.
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