Question 13 of 22
Q.Name the contract which is forbidden by law.
(a) Valid contract
(b) Void contract
(c) Illegal contract
(d) Voidable contract
Tamil Nadu DgeTamil Nadu HSC First Year (DGE) Commerce Board 2020MCQ· 1mImportance★★★★★
59% · 13/22 Questions
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Start your 14-day free trial to unlock the full solution →The correct answer is (c) Illegal contract. A contract that is forbidden by law is an illegal contract.
In the Tamil Nadu HSC Commerce syllabus, contracts are classified by their enforceability/validity:
- Illegal contract — one whose object or consideration is unlawful/forbidden by law (for example, an agreement to commit a crime). It is void from the very beginning and not enforceable; collateral agreements to it are also affected. This matches the question, so (c) is correct.
- Valid contract — one that fulfils all essentials of a contract and is fully enforceable. …
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