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As at 6 November 2026: B’s fraud causes A to consent to a contract with B. A rightfully rescinds it and…

Where fraud causes consent, section 19 makes the contract voidable at the defrauded party’s option. Section 75 permits a rightfully rescinding party to recover compensation…

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As at 6 November 2026: B’s fraud causes A to consent to a contract with B. A rightfully rescinds it and sustains proved damage through its non-fulfilment. Under the Indian Contract Act, 1872, which remedies are available to A?

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Answer and explanation

Correct answer C

Where fraud causes consent, section 19 makes the contract voidable at the defrauded party’s option. Section 75 permits a rightfully rescinding party to recover compensation for damage sustained through non-fulfilment. The stated inducement, rightful rescission and damage premises support both remedies; restoration of benefits is governed by section 64.

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Option A

Compensation for the stated damage is not barred by rescission.

Option B

The party is not confined to compensation because section 19 permits avoiding fraud-induced consent.

Option C

The stated premises support rescission and compensation for the proved damage.

Option D

Both remedies are available on these stated facts.

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