Question

An agreement between two parties whereby one of the party losses all the rights against the other one is __________.

• A. avoidable
• B. void
• C. valid
• D. illegal

Answer 1

Answer: (B)

void

All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void. Agreements must take into account the rights and interest of the parties to the agreement and it cannot be valid if it is based on the loss of rights of one of the parties as it is unlawful consideration and object and hence is void.