An agreement not enforceable by law is called ______.
Explanation & Strategy
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Section 2(g) defines a 'void agreement' as one that is not enforceable by law — it has no legal effect from its inception. This is distinct from a 'voidable contract' (S.2(i)) which is enforceable at the option of one party. The section hierarchy is: 2(a) proposal → 2(b) acceptance → 2(c) promisor/promisee → 2(d) consideration → 2(e) agreement → 2(f) reciprocal promises → 2(g) void agreement → 2(h) contract → 2(i) voidable contract.
The text reads: Section 2(g) Indian Contract Act: An agreement not enforceable by law is said to be void.