A agrees to sell his house to B for 10,000 rupees. According to illustration (a) to section 23 of the…
Illustration (a) to section 23 explains that "B's promise to pay the sum of 10,000 rupees is the consideration for A's promise to sell the house", and A's promise is in turn…
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A agrees to sell his house to B for 10,000 rupees. According to illustration (a) to section 23 of the Indian Contract Act, 1872, what is the consideration for A's promise to sell the house?
Answer and explanation
Correct answer D
Illustration (a) to section 23 explains that "B's promise to pay the sum of 10,000 rupees is the consideration for A's promise to sell the house", and A's promise is in turn the consideration for B's promise. Section 2(d) counts a promise "to do or to abstain from doing" something as consideration, so mutual promises support each other, and here both are lawful. A's own promise is the consideration for B's promise, not for itself.
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