Question

    When is the object or consideration of an agreement unlawful?

    A Fraudulent Correct Answer Incorrect Answer
    B Forbidden by law Correct Answer Incorrect Answer
    C Does not involve or imply, injury to the person or property of another Correct Answer Incorrect Answer
    D All a, b & c Correct Answer Incorrect Answer
    E Either a or b Correct Answer Incorrect Answer

    Solution

    Contract Act Section 23.    What considerations and objects are lawful, and what not: The consideration or object of an agreement is lawful, unless— it is forbidden by law1 ; or is of such a nature that, if permitted, it would defeat the provisions of any law; or is fraudulent ; or involves or implies, injury to the person or property of another; or the Court regards it as immoral, or opposed to public policy. In each of these cases, the consideration or object of an agreement is said to be unlawful. Every agreement of which the object or consideration is unlawful is void.

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