Section 19 - Voidability of agreements without free consent : Indian Contract Act
What is Voidability of agreements without free consent? Section 19 of Indian Contract Act
Section 19 of Indian Contract Act 1872 : "Voidability of
agreements without free consent"
19. When consent to an agreement is caused by
coercion, fraud or misrepresentation, the agreement
is a contract voidable at the option of the party
whose consent was so caused.
A party to a contract, whose consent was caused by fraud or
misrepresentation, may, if he thinks fit, insist that the
contract shall be performed, and that he shall be put in the
position in which he would have been if the representations made
had been true.
Exception.-If such consent was caused by misrepresentation or
by silence, fraudulent within the meaning of section 17, the
contract, nevertheless, is not voidable, if the party whose
consent was so caused had the means of discovering the truth
with ordinary diligence.
Explanation.-A fraud or misrepresentation which did not cause
the consent to a contract of the party on whom such fraud was
practised, or to whom such misrepresentation was made, does not
render a contract voidable.
(a) A, intending to deceive B, falsely represents that five
hundred maunds of indigo are made annually at A's factory, and
thereby induces B to buy the factory. The contract is voidable
at the option of B.
(b) A, by a misrepresentation, leads B erroneously to believe
that five hundred maunds of indigo are made annually at A's
factory. B examines the accounts of the factory, which show that
only four hundred maunds of indigo have been made. After this B
buys the factory. The contract is not voidable on account of A's
(c) A fraudulently informs B that A's estate is
free form encumbrance. B thereupon buys the estate.
The estate is subject to a mortgage. B may either
avoid the contract, or may insist on its being
carried out and the mortgage-debt redeemed.
(d) B, having discovered a vein of ore on the estate of A,
adopts means to conceal and does conceal, the existence of the
ore from A. Through A's ignorance B is enabled to buy the estate
at an undervalue. The contract is voidable at the option of A.
(e) A is entitled to succeed to an estate at the death of B;
B dies; C, having received intelligence of B's death, prevents
the intelligence reaching A, and thus induces A to sell him his
interest in the estate. The sale is voidable at the option of A.