| Principle If the object and consideration of a contract is unlawful the contract is void |
| Facts Mohan a farmer suffered heavy loss due to floods goes to the local landlord for a loan of Rs 25000 and offers to work for him for the rest of his life. After 2 years of unpaid work Mohan wants to go back on his promise. The landlord wishes to move the court to enforce agreement. |
A) The landlord would succeed because, Mohan sold his labour for a consideration of? 25000.
B) The landlord would fail because, Mohan was too distressed to decide freely
C) The landlord would fail because, the agreement was one of bonded labour, which was against law and public policy
D) The landlord would succeed because, Mohan had still not done work worth of Rs 25000
Correct Answer: C
Solution :
Section 23 of Contract Art say what considerations and objects are lawful and what not Section 24 tells agreements void, if considerations and objects unlawful in part.
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