Social agreement is valid or not ?

Assuming here that there was no movement of consideration between the two parties due to both of them being friends.

It has been stated in section 10 and 25 0f the Indian Contract Act, that a contract without consideration is void, “No consideration, no contract”, when a reasonable amount of consideration does not move between the parties the count can assume that there has been coercion by the party in advantage.

But section 25 also lays down 3 exceptions in which cases a valid consideration is not required. First one of them being “Contracts made out of natural love and affection”, A contract made between two parties with immense trust in one another due to a prior relationship such as a blood relationship or even a friendship does not require a consideration to pass between them during a contract. However, “love and affection” has proven to be an increasingly ambiguous term warranting subjective examination from the court in each and every instance. It was found that existence of near relationship does not automatically imply love and affection between the parties as seen in the case of Rajlukhi Dabee v. Bhootnath Mukerjee, the defendant being the plaintiff’s husband, the court declared that there was no natural love and affection between them over the issue of consideration on an agreement on maintenance after divorce.

However the subjective nature of the agreement can be applied to the above situation as both X and Y are friends and if the consideration has been given and the agreement is verbal then it can be enforced under section 10.

Hello Atharv Sankliya, I acknowledge your question. A social agreement is where such an agreement is made between friends without an intention of being enforceable under the law. Where such an agreement is of social nature, it is said or majorly assumed as legally non-binding. As in the above scenario we can say that it is not merely a social contract, there is an economic hardship involved in such cases they shall be legally bounded. Though most of the social agreements are for recreational or social nature some odf them are for business purposes too and they shall be enforceable by law.

I hope I have answered your query, if you have any further query do drop here.

Have a good day.

What is the consideration for getting the service? In the absence of consideration, there is no contract. Offering or denying service is at the discretion of X.

What exactly do you mean by Social Agreement. If any Agreement is to become a valid contract, inter-alia there should be a consideration.