Page 66 - PRINCIPLE OF LAW- FINAL (eISBN) pdf
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Politeknik Kota Bharu



                         Mistake (Clause 21, 22, 23)
                           ✓ Where both parties to an agreement are under a mistake as to

                             a matter of fact essential to the agreement, the agreement is


                             void.


                  2.4.2  UNLAWFUL AGREEMENT


                           Every agreement of which the object or consideration is unlawful

                           is void. (Lawful consideration and lawful object).

                           a. Agreement forbidden by laws (not only common law and


                             equity but includes statues)

                               ✓  Legislation  may  enact  laws  forbidding  certain  types  of

                                   agreements declaring them void


                               ✓  Statutory  illegality,  Gaming  and  contracts,  Illegality  to
                                   common law (commit crime or civil wrong)





                           b. Agreement that would defeat the provision of any law

                               ✓  The agreement basically is valid but the execution of the

                                   agreement or some of it that defeat the provision of any

                                   law (statue, common law, etc.) make it void.

                               ✓  Clause 27 (restrain of marriage): Any contract which


                                   restrains someone from marrying for one's whole life or

                                   even  for  a  specified  period  of  time  is  a  restraint  of

                                   marriage contract. In some countries, it is considered to

                                   be a void contract and cannot be enforced by law.















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