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Under section 21 of the Indian Contract Act, 1872, what is the effect of a mistake about a law in force…

A mistake about a law in force in India does not, by itself, make a resulting contract voidable under section 21. A mistake about law outside India has the same effect as a…

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Under section 21 of the Indian Contract Act, 1872, what is the effect of a mistake about a law in force in India, by itself, on a contract caused by that mistake?

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Answer and explanation

Correct answer B

A mistake about a law in force in India does not, by itself, make a resulting contract voidable under section 21.

A mistake about law outside India has the same effect as a mistake of fact. The distinction is between the law in force in India and law outside India.

Option feedback

Option A

Section 21 does not make the contract void because of that domestic-law mistake.

Option B

The section expressly denies voidability on this ground.

Option C

A domestic-law mistake alone gives neither party that power of avoidance under section 21.

Option D

The statute equates a mistake about law outside India with a mistake of fact. This question concerns Indian law.

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