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Question

Rekha and Arjun entered into a contract whereby Rekha agreed to sell Arjun Rs.1,000 worth of heroin, an illegal substance. Which type of a contract is this?

The correct answer is

void contract

Understanding Illegal Contracts and Void Contracts

A contract is an agreement enforceable by law. For an agreement to become a legally enforceable contract, it must satisfy several essential elements. One of the key elements is that the object and the consideration of the agreement must be lawful. If the object or the consideration is unlawful, the agreement is not considered a valid contract.

What Makes a Contract Illegal or Unlawful?

An object or consideration is considered unlawful if:

  • It is forbidden by law.
  • It is of such a nature that, if permitted, it would defeat the provisions of any law.
  • It is fraudulent.
  • It involves or implies injury to the person or property of another.
  • The court regards it as immoral, or opposed to public policy.

In the given scenario, Rekha agreed to sell Arjun heroin. The sale and possession of heroin are strictly prohibited by law in most jurisdictions. Therefore, the object of this contract (selling heroin) is illegal.

Consequences of an Illegal Object: A Void Contract

When the object or the consideration of an agreement is unlawful, the agreement is considered void from the very beginning (void ab initio). This means the law treats the agreement as if it never existed. Neither party can legally enforce such an agreement.

Since the agreement between Rekha and Arjun involves the sale of an illegal substance (heroin), its object is unlawful. Consequently, this agreement is a void contract.

Why Other Options Are Not Applicable

  • Unconstitutional contract: This term typically applies when a contract violates the provisions of the constitution. While illegal acts might indirectly relate to constitutional principles (like the rule of law), "unconstitutional contract" is not the standard legal classification for an agreement with an illegal object.
  • Unlawful contract: While the contract is indeed unlawful, the more precise legal term for an agreement that is invalid from the start due to an unlawful object is "void contract". "Unlawful contract" is sometimes used interchangeably, but "void contract" specifically highlights its lack of legal effect.
  • Voidable contract: A voidable contract is one which is valid until one of the parties, who has the option to do so (e.g., due to fraud, misrepresentation, coercion, undue influence), chooses to set it aside. It is not automatically void. A contract for an illegal act like selling heroin is not voidable; it is void from the outset because it lacks a lawful object.

Therefore, a contract to sell an illegal substance like heroin is fundamentally flawed and has no legal standing. It is correctly classified as a void contract.

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Important Questions from Miscellaneous

  1. A stone is thrown horizontally from the top of a 20 m high building with a speed of 12 m/s. It hits the ground at a distance R from the building. Taking g = 10 m/s2 and neglecting air resistance will give :

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  3. A railway wagon (open at the top) of mass M1 is moving with speed v1 along a straight track. As a result of rain, after some time it gets partially filled with water so that the mass of the wagon becomes M2 and speed becomes v2. Taking the rain to be falling vertically and the water stationery inside the wagon, the relation between the two speeds v1 and v2 is :

  4. Consider the following statements:

    1. Distance between the longitudes becomes zero on North Pole and South Pole.

    2. Distance between the longitudes is maximum on the Equator.

    3. Number of longitudes is more than number of latitudes.

    Which of the statements given above is/are correct?

  5. One block of 2⋅0 kg mass is placed on top of another block of 3⋅0 kg mass. The coefficient of static friction between the two blocks is 0⋅2. The bottom block is pulled with a horizontal force F such that both the blocks move together without slipping. Taking acceleration due to gravity as 10 m/s2, the maximum value of the frictional force is :

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