
Contract Act


Supreme Court| ‘Exclusion clause’ destroying the contract entered with knowledge, cannot be permitted to be used by a party who introduced it, to avoid liability
Supreme Court: In an appeal against the decision of the National Consumer Disputes Redressal Commission (‘NCDRC’), wherein the commission having

Dehyphenating Tax from Contractual Realm: Prioritising “Party Autonomy”
by Tarun Jain †
Cite as: 2022 SCC OnLine Blog Exp 74

Explained| Difference between Contract of Indemnity and Contract of Guarantee
Supreme Court: In an Insolvency and Bankruptcy case, the bench of Indira Banerjee* and JK Maheshwari, JJ has explained the difference between

Privity of Consideration: A Contractual Doctrine Seeking to Find Space in GST Law
by Tarun Jain†
Cite as: 2022 SCC OnLine Blog Exp 68

NCLT| Can a Financial Creditor initiate Insolvency Resolution Process against a Personal Guarantor?
National Company Law Tribunal, Hyderabad: The Bench of N. Venkata Ramakrishna Badarinath, Judicial Member, and Veera Brahma Rao Arekapud, Technical Member held

Bombay High Court | Yes Bank-Dish TV Case: Beneficial Owner of pledged shares, contractually entitled to all rights, including voting rights in Annual General Meeting
Bombay High Court: The Division Bench of G.S.Patel and Madhav J Jamdar, JJ. dismissed an appeal ruling that lenders are entitled to

Pawnee recording self as “beneficial owner” is a necessary condition to exercise right to sell pledged good; it does not amount to “actual sale”: SC
Supreme Court: The bench of MR Shah and Sanjiv Khanna*, JJ has held that mere exercise of the right by the pawnee

2G Spectrum Scam| Supreme Court rejects ex-licensee’s refund demand of Rs 1454.94 crores Entry Fee, holding him faulty as a confederate of fraud
Supreme Court: The 3-Judge Bench comprising of Dr. Dhananjaya Y Chandrachud*, Surya Kant and Vikram Nath, JJ., affirmed the impugned order of

Is amount spent by pharmaceutical companies in gifting freebies to the doctors “business expenditure” under IT Act when act of accepting freebies by doctors is an offence? SC answers
“…the statutory regime requiring that a thing be done in a certain manner, also implies (even in the absence of any express terms), that the other forms of doing it are impermissible.”
Compensation payable under Ss. 73, 74 and 75 are only for loss or damage caused by breach or inclusive of mere act of breach as well? Ker HC explains
Kerala High Court: The Division Bench of P.B. Suresh Kumar and C.S. Sudha, JJ., expressed that, “…compensation payable under Sections 73, 74

Gift deed by an old illiterate woman: SC approves not legalistic but holistic approach by lower courts to determine validity of deed. HC’s verdict set aside
Supreme Court: In an issue relating to the alleged gift deed by an old illiterate woman, the bench of MR Shah and

Dishonour of Cheque occurring when parties entered in an illegal and void agreement: Can Court still take cognizance in S. 138 NI Act complaint? Dwarka Court decides
Dwarka Court, New Delhi: Shipra Dhankar, MM (NI Act) on noting that the dishonour of cheque occurred in consequence of an illegal
Importance of ‘consideration’ cannot be belittled: Del HC explains the significance of consideration in enforceability of an ‘Agreement’
Delhi High Court: “It is the consideration which puts enforceability in the agreements to make promises legally binding”, Asha Menon, J., stated
Chh HC | Agreement to withdraw criminal complaint after receiving payment for the same cannot be regarded as any lawful term and is void
Chhattisgarh High Court: Rajendra Chandra Singh Samant, J., dismissed the petition being devoid of merits. The facts of the case are such

Presumption and Rebuttal under NI Act: Read Court’s verdict discussing onus of proof and nature of defence where “payment stopped by drawer”
Additional Chief Metropolitan Magistrate, Mayo Hall Unit, Bengaluru: Vani A. Shetty, XVII Additional Judge, Court of Small Causes & ACMM, addressed a
Del HC | Does Exception 3 to S. 28 of Contract Act deal with claim period within which beneficiary is entitled to lodge claim? Court discusses
Delhi High Court: Jayant Nath, J., held that, Exception 3 to Section 28 of the Contract Act deals with curtailment of the
Del HC | Can ‘Pawnor’ under Ss. 172/176 of Contract Act be made liable for repayment of entire debt, in absence of any guarantee being furnished? Succinct Report
Delhi High Court: The Division Bench of Rajiv Sahai Endlaw and Asha Menon, JJ., held that the pawnor, merely by his act
Del HC | Any judicial system which does not provide finality to disputes, can never earn the trust, confidence and goodwill of the society: HC highlights ‘Consent Decree’ and ‘Lawful Compromise’
Litigants think that they can ‘hop on and hop off the case’ at any stage without any consequence using the slogan ‘pure justice’.

MSPs against Corporates: A Legal Right under the Contract Act and a Constitutional Right under Article 21
by Mohit Rana* and Ravi Singh Chhikara**