Section 19A Indian Contract Act 1872
Section 19A of the Indian Contract Act 1872 is about Power to set aside contract induced by undue influence. It is under CHAPTER II of the Act. CHAPTER II is titled OF CONTRACTS, VOIDABLE CONTRACTS AND VOID AGREEMENTS.
Power to set aside contract induced by undue influence
When consent to an agreement is caused by undue influence, the agreement is a contract voidable at the option of the party whose consent was so caused.
Any such contract may be set aside either absolutely or, if the party who was entitled to avoid it has received any benefit thereunder, upon such terms and conditions as to the Court may seem just.
Illustrations
(a) As son has forged Bs name to a promissory note. B under threat of prosecuting As son, obtains a bond from A for the amount of the forged note. If B sues on this bond, the Court may set the bond aside.
(b) A, a money-lender, advances Rs. 100 to B, an agriculturist, and, by undue influence, induces B to execute a bond for Rs. 200 with interest at 6 per cent. per month. The Court may set the bond aside, ordering B to repay the Rs. 100 with such interest as may seem just.
See also:
Section 19 Indian Contract Act 1872 (Voidability of agreements without free consent)
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