Law of Contracts - II

Tamil Nadu Dr. Ambedkar Law University · LL.B. Semester 2 · TA2A

Unit I — Indemnity

Indemnity 1. Definition - English and Indian 2.. Rights of the Indemnity holder 3. Rights of the Indemnifier. 4. Rights of Indemnity dealt with Sections 59,145,164 and 222 of the Contract Act. 5. Codification not exhaustive - principles of equity applicable

Unit II — Guarantee

Guarantee 1. Definition - English and Indian definitions 2. Essentials and nature of guarantee 3. Distinction between guarantee and indemnity - guarantee and Insurance 4. Elements of consideration in a contract of guarantee 5. Nature and quantum of surety’s liability 6. Kinds of guarantee and their incidents 7. Suretyship arises on contract and not on notice-position in English Law 8. Duty of disclosure in guarantee 9. Rights of surety against principal debtor - credit or - co - sureties - difference in English Law - Circumstances which a surety discharges

Unit III — Bailment

Bailment 1. Definition - Indian and English definitions 2. Essentials of bailment and classification of bailment 3. Distinction between bailment and pledge - deposit - sale - agency 4. Rights and duties of the bailor and bailee - difference in English Law 5. Pledge - definition - Rights of the Pawner and Pawnee 6. Pledge by non - pawners 7. Lien - kinds of lien - their nature and incidents - how lost

Unit IV — Sale Of Goods

Sale Of Goods 1. Definition of sale and agreement to sell - distinction between sale and agreement to self -contract of work and layout. Hire purchase agreement - Bailment - Exchange - Gift. 2. Definitions - goods - specific goods - future goods - Mercantile agent - Documents of title of goods. 3. How is sale made - rules for fixing price and effect of goods getting damages or perished in a contract of sale. 4. Stipulation as to time and other stipulation 5. Conditions and warranties - effect of breach - ex - post facto Warrantly - when condition is treated as warranty 6. Implied conditions and warranties - in a contract of sale - Exemption clauses - effect of fundamental breach 7. Rule as to passing off property 8. Sale by non - owners - exception to Nemo data quod non habet. 9. Rules as to delivery 10. Unpaid vendor - His rights or lien and stoppage in transit 11. Remedies available to seller and buyer 12. Auction sales 13. Competition law

Unit V — Agency

Agency 1. Definition of contract of agency - Creation of agency - kinds of agency 2. Distinction between Agent and servant and independent contractor 3. Who may be an agent - kinds of Agents - Authority of the different kinds of Agents - authority of Agents - Ostensible and emergency - delegation of authority - delegatus non potest delegare - sub agent - substituted agent 4. Essentials of ratification and its effect 5. Effect to notice to agent - necessary conditions to bind Principal 6. Principal and third parties - The doctrine of undisclosed - Principal and concealed Principal 7. Termination of agency and when it becomes irrevocable

Unit VI — Partnership

Partnership 1. Definition of partnership - Essentials of partnership - Joint Hindu - partner ship 2. Distinction between partnership and co-ownership - Joint Hindu family - Incorporation companies - contract of service - legal notion and mercantile notion 3. Kinds of partners and duration of partnership 4. Natural rights and duties of partnership. 5. Minor as a partner - difference in English Law 6. Rights of Legal Representative and surviving partners 7. Authority of partners implied and emergency 8. Liability of the partners for the acts of the firm and for the wrongful acts of other partner - nature of liability - limited liability partnership. 9. Principles of agency in partnership 10. Partnership property - Tests 11. Settlement of accounts - Goodwill and its disposal - distribution of assets 12. Retirement of partners 13. Dissolution of firm and modes and circumstances 14. Effect of non - registration of firm

Unit VII — Consumer Protection

Consumer Protection 1. History of Consumer Protection movement in India 2. Consumer Protection Act. Definition of Complainant, Complaint, Consumer, Goods Restrictive Trade practice, Service, unfair Trade Practice 3. Consumer Protection councils - its organization, objects and procedure 4. Consumer disputes redressal agencies - kinds, establishment, composition, jurisdiction 5. Complaint - manner in which made, procedure on receipt of Appeals, Limitation period, dismissal of frivolous or vexatious complaints. 6. Orders of the Consumer Disputes Redressal Agencies - findings of the forum - finality of orders, enforcement of orders, penalties.