Question
According to Section 56 of the Indian Contract Act,
which of the following statements accurately reflects the treatment of agreements to perform impossible acts?Solution
Contract Act: Section 56.Ā Ā Agreement to do impossible act- An agreement to do an act impossible in itself is void. Contract to do an act afterwards becoming impossible or unlawfulāA contract to do an act which, after the contract is made, becomes impossible, or, by reason of some event which the promisor could not prevent, unlawful, becomes void when the act becomes impossible or unlawful.
Any security provided to the bank in exchange for a loan is known asĀ ______.
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