Unit I · Law of Contract – I

Consideration, privity and standard-form contracts

Study aid only. Confirm statute numbers with the current bare Act and the official OU LL.B. (3-YDC) 2024–25 syllabus PDF.

Statute sections

Act / instrument	Section	Name
Indian Contract Act, 1872	2(d)	Consideration
Indian Contract Act, 1872	10	What agreements are contracts
Indian Contract Act, 1872	25	Agreement without consideration, with exceptions

(1886) ILR 14 Cal 64 · Supreme Court of India

A promise to subscribe, if acted upon by incurring liability, is supported by consideration.

[1915] AC 847 · House of Lords

Only a party to a contract can sue on it; strangers lack privity.

AIR 1970 SC 504 · Supreme Court of India

A stranger to a contract cannot enforce it, subject to recognised exceptions.