Site navigation

Under the Indian Contract Act, 1872, which one of the following is not correct?

Under section 27 of the Indian Contract Act, 1872, every agreement by which anyone is restrained from exercising a lawful profession, trade or business is void to that…

Choose your answer

Under the Indian Contract Act, 1872, which one of the following is not correct?

Select one answer
Answer and explanation

Correct answer C

Under section 27 of the Indian Contract Act, 1872, every agreement by which anyone is restrained from exercising a lawful profession, trade or business is void to that extent, subject to the exception for sale of goodwill. The statement "Agreement in restraint of trade is not void" is therefore the incorrect one. The other statements are correct: section 26 makes agreements in restraint of marriage void, section 24 makes an agreement void if any part of a single consideration or object is unlawful, and section 28 makes agreements in restraint of legal proceedings void.

Practice for these exams

Related question papers

Related exam syllabi

Related questions in this topic