The bills of lading are void as between B and the pretended consignor. 55. On the sixth night A wilfully absents herself. A person to whom money has been paid, or anything delivered, by mistake or under coercion, must repay or return it. This is a valid contract to deliver rice, and a void agreement as to the opium. In other cases, the promisor or his representatives may employ a competent person to perform it. The contract is voidable, as between B and C, at the option of C. (b) A , the captain of B's ship, signs bills of lading without having received on board the goods mentioned therein. (h) A contracts to supply B with a certain quantity of iron at a fixed price, being a higher price than that for which A could procure and deliver the iron. Effect of failure when time is not essential. A contracts to pay B RMl0,000 if B's house is burnt. Aputs his promise to B into writing and registers it under a law for the time being in force for the registration of such documents. (1) Contingent contracts to do or not to do anything if a specified uncertain event happens within a fixed time become void if, at the expiration of the time fixed, the event has not happened, or if, before the time fixed, the event becomes impossible. Where commercial contracts contain arbitration clauses, courts are loath to interfere with the parties' apparent intention to arbitrate their disputes. The contract cannot be enforced by law unless and until C refuses to buy the horse. Pledge where pawnor has only a limited interest. 146. C fails to perform his contract with A, who cannot procure other iron, and B, in consequence, rescinds the contract.C must pay to A RM20,000, being the profit whichA would have made by the performance of his contract with B. (a) A and B contract that A shall build a house for B at a fixed price. Performance in manner or at time prescribed or sanctioned by promisee. 168. A must make compensation to his principal in respect of any loss thereby sustained. (c) A contracts to marry B, being already married to C, and being forbidden by the law to which he is subject to practise polygamy. B is ready and willing to execute the work accordingly but A prevents him from doing so. Exception --When any person enters into any bail-bond, recognizance, or other instrument of the same nature, or, under the provisions of any law, or under the orders of the Federal Government or the Government of any state, gives any bond for the performance of any public duty or act in which the public are interested, he shall be liable, upon breach of the condition of any such instrument, to pay the whole sum mentioned therein. An essential term means that the contract cannot be performed without the term included. Revocation where authority has been partly exercised. (a) A agrees to sell B a specific cargo of goods supposed to be on its way from England to Kelang. The debt becomes payable. In each of the above cases, the consideration or object of an agreement is said to be unlawful. A is entitled to receive from B, by way of compensation, the average amount of profit which would have been made by the working of the mill during the time that delivery of it was delayed, but not the loss sustained through the loss of the Government contract. The contract becomes void when war is declared. (b) A directs B to sell A 's estate. B is entitled to such compensation, not exceeding RM5,000, as the court considers reasonable. (b) B , the proprietor of a newspaper, publishes, at A's request, a libel upon C in the paper, and A agrees to indemnify B against the consequences of the publication, and all costs and damages of any action in respect thereof. The consideration or object of an agreement is lawful, unless--. Any guarantee which the creditor has obtained by means of keeping silence as to material circumstance is invalid. When a promise is to be performed without application by the promisee, and no place is fixed for the performance of it, it is the duty of the promisor to apply to the promisee to appoint a reasonable place for the performance of the promise, and to perform it at that place. A proposes, by a letter sent by post, to sell his house to B. contract void. 7. (b) A owes to B, among other debts, the sum of RM567. In this Act the following words and expressions are used in the following senses, unless a contrary intention appears from the context: (a) when one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of that other to the act or abstinence, he is said to make a proposal; (b) when the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted: a proposal, when accepted, becomes a promise; (c) the person making the proposal is called the "promisor" and the person accepting the proposal is called the "promisee"; (d) when, at the desire of the promisor, the promisee or any other person has done or abstained from doing, or does or abstains from doing, or promises to do or to abstain from doing, something, such act or abstinence or promise is called a consideration for the promise; (e) every promise and every set of promises, forming the consideration for each other, is an agreement; (f) promises which form the consideration or part of the consideration for each other are called reciprocal promises; (g) an agreement not enforceable by law is said to be void; (h) an agreement enforceable by law is a contract; (i) an agreement which is enforceable by law at the option of one or more of the parties thereto, but not at the option of the other or others, is a voidable contract; and. C , being ignorant of B's instructions, enters into a contract with B to buy the goods at a price lower than the reserved price. If an agent, without the knowledge of his principal, deals in the business of the agency on his own account instead of on account of his principal, the principal is entitled to claim from the agent any benefit which may have resulted to him from the transaction. Provided that an uncertain contractual term is not entirely devoid of meaning, the Courts will ascribe it the meaning they believe to be reflective of the term upon its proper construction (BHP Petroleum (Ti… A may perform this promise, either by personally paying the money to B, or by causing it to be paid to B by another; and, if A dies before the time appointed for payment, his representatives must perform the promise, or employ some proper person to do so. On the 1st of June A pays to B RM1,000. When finder of thing commonly on sale may sell it, 122. They are entitled to recover it from C. 45. 147. A contracts to indemnify B against the consequences of any proceedings which C may take against B in respect of a certain sum of RM200. Obligation of person who has received advantage under void agreement, or contract that becomes void. Explanation --A stipulation for increased interest from the date of default may be a stipulation by way of penalty. This is a discharge of the whole debt, whatever may be its amount. 120. He forfeits his recognizance. The horse accidentally falls and is injured. You can always see what data you’ve stored with us. When the agent acts otherwise, if any loss be sustained, he must make it good to his principal, and, if any profit accrues, he must account for it. A may repudiate the whole transaction. A is not entitled to compensation from B, if the circumstances show that he intended to act gratuitously. B does not pay within the week. B defends, but unsuccessfully, and has to pay damages and costs, and incurs expenses. He must pay to B, by way of compensation, a sum equal to the difference between the contract price and the price for which B could hire a similar ship for a year on and from the 1st of January. This is a contract. (a) B , at Kelang, under instructions from A, of Taiping, contracts with C to deliver certain goods to him. B has signified his acquiescence in the continuance of the contract, and cannot now put an end to it, but is entitled to compensation for the damage sustained by him through A's failure to sing on the sixth night. A provision in a contract will only be void for uncertainty if the court cannot reach a conclusion as to what was in the parties’ minds or where it is not safe for the court to prefer one possible meaning to other equally possible meanings, while bearing in mind that what is in the parties’ mind is a legal construct and not an enquiry into subjective intent. The liability of the surety is co-extensive with that of the principal debtor, unless it is otherwise provided by the contract. Bailee not responsible on re-delivery to bailor without title. 63. “Coercion” 16. C's payment is good as against A. (a) all damages which he may be compelled to pay in any suit in respect of any matter to which the promise to indemnify applies; (b) all costs which he may be compelled to pay in any such suit if, in bringing or defending it, he did not contravene the orders of the promisor, and acted as it would have been prudent for him to act in the absence of any contract of indemnity, or if the promisor authorized him to bring or defend the suit; and. (1) When a party to a contract promises to do a certain thing at or before a specified time, or certain things at or before specified times, and fails to do any such thing at or before the specified time, the contract, or so much of it as has not been performed, becomes voidable at the option of the promisee, if the intention of the parties was that time should be of the essence of the contract. Every promisee may dispense with or remit, wholly or in part, the performance of the promise made to him, or may extend the time for such performance, or may accept instead of it any satisfaction which he thinks fit. 23. Endless might be the arguments pro and con as to whether or not in marginal cases some item of expenditure is as claimed a cost, or as to how much of an expenditure is a cost, of the particular activity. This is a contract of indemnity. B must pay to A, by way of compensation, the difference between the contract price of the iron and the sum for which A could have obtained and delivered it. A is discharged by this prepayment. A contract can be considered void when it is impossible to enforce the way it was originally written. (2) Such compensation is not to be given for any remote and indirect loss or damage sustained by reason of the breach. C is discharged from his suretyship. Reimbursement of person paying money due by another, in payment of which he is interested. A void contract is also different from a contract that is not validly executed. This is a void agreement. The sale is good. Rights of surety on payment or performance. In response, Liang Builders contended that the Letter of Award dated 13 June 2019 was executed by the director and shareholder of Pandan Etika and was therefore binding between the parties. C is dead at the time of the promise. A voidable contract means that there are factors which may allow one party to end the contract. This is a transaction in the ordinary course of business, and the contract is not induced by undue influence. C is not a sub-agent, but is A's agent for the conduct of the sale. B need not pay the first instalment unless A is ready and willing to deliver the goods on payment of the first instalment. The bailor is responsible to the bailee for any loss which the bailee may sustain by reason that the bailor was not entitled to make the bailment, or to receive back the goods, or to give directions respecting them. A denies that consent to the agreement was freely given. (d) A desires B, who owes him RM100, to send him a note for RM100 by post. This is a sufficient consideration for C's promise. A contract is not voidable because it was caused by a mistake as to any law in force in Malaysia; but a mistake as to a law not in force in Malaysia has the same effect as a mistake of fact. (b) If the principal discloses himself before the contract is completed, the other contracting party may refuse to fulfil the contract, if he can show that, if he had known who was the principal in the contract, or if he had known that the agent was not a principal, he would not have entered into the contract. A must make compensation to B for the loss caused to her by the non-performance of his promise. B retains the money for a considerable time. C is unable to pay anything, and A is compelled to pay the whole. (d) A agrees to sell to B "all the grain in my granary at Ipoh". (a) A is employed by B, residing in London, to recover at Telok Anson a debt due to B. (e) C contracts to lend B RM5,000 on the 1st of March.A guarantees repayment. 83. B thereupon beatsC, and has to pay damages to C for so doing. A is liable to pay RM10,000, and B and C RM15,000. "Contract of guarantee", "surety", "principal debtor", and "creditor". Explanation --Mere silence as to facts likely to affect the willingness of a person to enter into a contract is not fraud, unless the circumstances of the case are such that, regard being had to them, it is the duty of the person keeping silence to speak, or unless his silence is, in itself, equivalent to speech. Guarantee on contract that creditor shall not act on it until co-surety joins. A , on board an English ship on the high seas, causes B to enter into an agreement by an act amounting to criminal intimidation under the Penal Code. Application to existing scholarship agreements. B neglects or refuses to point out to A the places in which his house requires repair. The surveyor makes the choice negligently and the ship turns out to be unseaworthy and is lost. It lies on B to prove that the contract was not induced by undue influence. A does not pay the money on that day. Any such contract may be set aside either absolutely or, if the party who was entitled to avoid it has received any benefit thereunder, upon such terms and conditions as to the court may seem just. 101. (a) A hires B's ship to take in and convey, from Kelang to Singapore, a cargo to be provided by A, B receiving a certain freight for its conveyance. (a) A supplies B, a mentally disordered person, with necessaries suitable to his condition in life. A sends to B RM567. The pawnee shall not, in the absence of a contract to that effect, retain the goods pledged for any debt or promise other than the debt or promise for which they are pledged; but such contract, in the absence of anything to the contrary, shall be presumed in regard to subsequent advances made by the pawnee. The bailor is bound to disclose to the bailee faults in the goods bailed, of which the bailor is aware, and which materially interfere with the use of them, or expose the bailee to extraordinary risks; and, if he does not make the disclosure, he is responsible for damage arising to the bailee directly from those faults. 112. The court’s role is to give legal effect to what the parties have agreed. Agent's duty to communicate with principal. Liability of party preventing event on which contract is to take effect. (b) A , a man enfeebled by disease or age, is induced, by B's influence over him as his medical attendant, to agree to payB an unreasonable sum for his professional services. (a) A promises to paint a picture for B. A, in consequence of not receiving the money, becomes insolvent. When an agent does more than he is authorized to do, and when the part of what he does, which is within his authority, can be separated from the part which is beyond his authority, so much only of what he does as is within his authority is binding as between him and his principal. 28. He is bound to pay A for them. 42. (a) A , a singer, enters into a contract with B, the manager of a theatre, to sing at his theatre two nights in every week during the next two months, and B engages to pay her RM100 for each night's performance. A is liable to B for such damages, costs and expenses. (c) A , a singer, contracts with B, the manager of a theatre, to sing at his theatre for two nights in every week during the next two months, and B engages to pay her RM100 for each night's performance. (j) a contract which ceases to be enforceable by law becomes void when it ceases to be enforceable. A may revoke his proposal at any time before or at the moment when B posts his letter of acceptance, but not afterwards. Afterwards, C obtains from B a further security for the same debt. B owesC RM1,000. (d) A contracts to sing for B at a concert for RM1,000, which are paid in advance. Uncertainty occurs when: The language used may be too vague – incapable of definite meaning that it is unable to attribute to the parties any contractual intention. 108. (3) The communication of a revocation is complete--, (a) as against the person who makes it, when it is put into a course of transmission to the person to whom it is made, so as to be out of the power of the person who makes it; and. A and B make a joint and several promissory note to C. A makes it, in fact, as surety for B, and C knows this at the time when the note is made. (b) C , a creditor, whose advance to B is secured by a decree, receives also a guarantee for that advance from A. (c) A , B and C, as sureties for D, enter into three several bonds, each in a different penalty--namely, A in the penalty of RM10,000, B in that of RM20,000, C in that of RM40,000, conditioned for D's duly accounting to E. D makes default to the extent of RM70,000. Right of person dealing with agent personally liable. 6 . (3) Nothing in this section shall be deemed to legalize any transaction connected with horse-racing forbidden by any written law. The whole debt is discharged. A breaks his promise, andB, having no cotton, is obliged to close his mill.A is not responsible to B for the loss caused to B by the closing of the mill. 30. The contract becomes void. Liability of co-sureties bound in different sums. (a) A , a merchant in Kuala Lumpur, has an agent, B, in London, to whom a sum of money is paid on A's account, with orders to remit. Person by whom promise is to be performed. The termination of the authority of an agent does not, so far as regards the agent, take effect before it becomes known to him, or, so far as regards third persons, before it becomes known to them. It is the duty of an agent, in cases of difficulty, to use all reasonable diligence in communicating with his principal, and in seeking to obtain his instructions. 186. Afterwards, B supplies C with tea to the value of RM2,000. A can revoke B's authority to pay for the cotton. The right to claim performance rests with B's representative jointly with C during C 's life, and after the death of C with the representatives of B and C jointly. Performance of the conditions of a proposal, or the acceptance of any consideration for a reciprocal promise which may be offered with a proposal, is an acceptance of the proposal. A promises to superintend, on behalf of B, a legal manufacture of indigo, and an illegal traffic in other articles. B writes to A and demands the payment of this sum. 144. Explanation --In estimating the loss or damage arising from a breach of contract, the means which existed of remedying the inconvenience caused by the non-performance of the contract must be taken into account. 47. Application for performance on certain day to be at proper time and place. 34. The agreement is a contract notwithstanding the inadequacy of the consideration. B unreasonably delays the delivery of the machine, and A, in consequence, loses a profitable contract with the Government. 52. In any of these cases, such an agreement is a contract. For example, if one party agrees to buy a painting from the other party, but the painting was already destroyed by fire, that would be a common mistake that would void the contract. (a) A directs B to sell goods for him, and agrees to giveB 5 per cent commission on the price fetched by the goods.A afterwards, by letter, revokes B's authority. 140. Effect of ratification. Examples of essential terms include an agreed price or a starting date for a lease. C pays B the money, with which B absconds. If this form doesn't load, please check your Tracking Protection settings. Agent to be indemnified against consequences of lawful acts. 12. There is no uncertainty here to make the agreement void. A cannot revoke this authority, nor can it be terminated by his unsoundness of mind or death. In the absence of any contract to that effect, an agent cannot personally enforce contracts entered into by him on behalf of his principal, nor is he personally bound by them. Reciprocal promise to do things legal, and also other things illegal. C is compelled to pay the whole. Consequence of inducing agent or principal to act on belief that principal or agent will be held exclusively liable. This means that neither party can enforce the agreement, nor do they have any obligations or rights under the contract. A "contingent contract" is a contract to do or not to do something, if some event, collateral to the contract, does or does not happen. 119. B tells A it cannot be bought, and buys the house for himself. (c) A , B and C are under a joint promise to payD RM3,000. 125. The fact that A, to the knowledge of C, made the note as surety for B, is no answer to a suit by C against A upon the note. If the proposal prescribes a manner in which it is to be accepted, and the acceptance is not made in that manner, the proposer may, within a reasonable time after the acceptance is communicated to him, insist that his proposal shall be accepted in the prescribed manner, and not otherwise; but, if he fails to do so, he accepts the acceptance. Here, B's promise to pay the sum of RM10,000 is the consideration for A's promise to sell the house, andA's promise to sell the house is the consideration for B's promise to pay the RM10,000.