Introduction to Different Types of Contracts
Contracts can be classified into various types based on formation, performance, and enforceability. Understanding these classifications helps in drafting and enforcing contracts effectively.
Express and Implied Contracts
- Express Contracts: Clearly stated terms, either orally or in writing.
- Implied Contracts: Terms inferred from the conduct of the parties or circumstances.
Executed and Executory Contracts
- Executed Contracts: Fully performed contracts.
- Executory Contracts: Yet to be fully performed.
Bilateral and Unilateral Contracts in India
- Bilateral Contracts: Mutual promises between parties.
- Unilateral Contracts: One party makes a promise in exchange for an act by another party.
Contingent Contracts
Contracts dependent on the occurrence of an uncertain future event. These are enforceable only when the event occurs.
Quasi-Contracts in Indian Law
Not actual contracts but imposed by law to prevent unjust enrichment. Examples include payment by a non-owner and responsibility for the goods delivered by mistake.
Conclusion
Understanding the different types of contracts helps in selecting the appropriate type for specific transactions and ensuring their enforceability.
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