New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    With reference to The Indian Contract Act, 1872 read

    the following statements and select the correct option from below: 1. An agreement without consideration is always void ab initio 2. An agreement in writing and registered and made on account of natural love and affection even without consideration is valid
    A 2 is correct but 1 is not correct Correct Answer Incorrect Answer
    B 1 & 2 both are correct Correct Answer Incorrect Answer
    C 1 is correct but 2 is not correct Correct Answer Incorrect Answer
    D 1 & 2 both are not correct Correct Answer Incorrect Answer

    Solution

    Section 25.   Agreement without consideration, void, unless it is in writing and registered, or is a promise to compensate for something done, or is a promise to pay a debt barred by limitation law: An agreement made without consideration is void, unless- (1) it is expressed in writing and registered under the law for the time being in force for the registration of 1[documents], and is made on account of natural love and affection between parties standing in a near relation to each other.

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