Agreement Made Without Free Consent: What it means and its Implications
An agreement made without free consent is a legal term that refers to a situation where one party enters into a contractual agreement without their free and voluntary consent. This can happen in several ways, such as through fraud, coercion, undue influence, or misrepresentation. Such agreements are voidable and can have serious implications for the parties involved.
In order to understand the implications of an agreement made without free consent, it is important to understand what constitutes free consent. According to the Indian Contract Act, 1872, consent is said to be free when it is not obtained through undue influence, coercion, fraud, misrepresentation, or mistake. This means that both parties should understand the terms and conditions of the agreement and freely enter into it without any pressure or deceit.
Fraud is one of the most common ways in which an agreement can be made without free consent. This occurs when one party intentionally conceals or misrepresents information to the other party in order to induce them to enter into the agreement. For instance, if a person sells a car to another person but fails to disclose that the car was involved in a serious accident, the buyer might be induced to enter into the agreement due to the false information provided by the seller. This would be considered fraudulent misrepresentation.
Coercion is another way an agreement can be made without free consent. This occurs when one party uses force or threats to force the other party to enter into the agreement. For instance, if a landlord threatens to evict a tenant unless they sign a new lease agreement with higher rent, the tenant might be coerced into entering into the agreement due to the fear of losing their home. This would be considered coercion.
Undue influence occurs when one party uses their power or influence over the other party to induce them to enter into the agreement. For instance, if a bank manager offers a loan to a customer at a higher interest rate than what is normally charged, the customer might accept the loan due to the manager`s influence and position of power. This would be considered undue influence.
Misrepresentation occurs when one party makes a false statement to the other party about the terms of the agreement. For instance, if a seller of a house tells a buyer that the house has no water leakage issues, but in reality, there are several water leakage problems, this would be considered misrepresentation.
If an agreement is made without free consent due to any of the above reasons, it can be considered voidable and can have serious legal implications for both parties. The aggrieved party can seek remedies such as rescission or damages, and the party responsible for the violation can face legal consequences.
In conclusion, an agreement made without free consent is a serious legal issue that can arise due to various factors such as fraud, coercion, undue influence, and misrepresentation. As a professional, it is important to be aware of the legal implications of such agreements and ensure that any content related to contract law is accurate and informative.