This concept has evolved through jurisprudence. It states that the parties` two promises are independent of each other and do not have to rely on each other for the delivery. Suppose there`s a contract where A`s going to give B and B Ana chocolates. Where a contract consists of reciprocal promises, so that one of them cannot be honoured or its performance cannot be invoked until the other party has been honoured and the principal of the promise mentioned last, he cannot claim the fulfillment of the mutual promise and must pay the other party a refund of the losses that that other party may suffer as a result of the non-performance of the contract. Preeti, for example, promises to repay its loan grossly. But this loan will be paid with dirty money. While Preeti`s promise to repay the loan is valid, the promise to pay with dirty money is not valid. 28. “Consensus – ad – ditto” means ……… (a) General Consensus b) Meeting of minds on the same thing in the same direction (c) Reaching an agreement (d) conclusion of Contract 11. Any agreement and promise that is enforceable by law is…………….
(a) Offer Unlike an act, promises are not tangible. Because of its nature, many doubts can therefore arise. What happens if the two promises of the parties are interdependent or if the promises can no longer be kept thereafter? In this article, we will discuss these subtleties. 31. All illegal agreements are ………… (a) Void- ab-initio (b) Valid (c) Contingent (d) Enforceable This newsletter is intended to provide an overview of the concept of mutual promises and to make recommendations that could be useful in drafting and negotiating the contract. 2.3 At the same time, it is once again a common form of mutual promise, in which the parties must fulfil their obligations explicitly or tacitly at the same time. The party that is prepared to honour its promise will be exempted if the other party is not “ready” and “willing” to fulfill its respective obligations. In J.P. Builders vs.
Ramadas Rao,5 the Hon`ble Supreme Court held that “preparation” refers to financial capacity and “preparation” refers to the behaviour of the aggrieved party who wishes the benefit, and in general the former is supported by the latter. To understand this, let`s go back to the original illustration.