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Principle : S...

Question

Principle : Sale of liquor is illegal. All agreements relating to prohibited items do not exist in the eyes of law.
Facts : 'A' entered into an agreement with 'B' for the sale of liquor. 'A' failed to supply the agreed quantity of liquor to 'B'.

A

'B' cannot bring any legal action against 'A'.

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B

'A' and 'B' can initiate appropriate legal proceeding against each other.

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C

'A' can bring a legal action against 'B'.

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D

'B' can bring a legal action against 'B'.

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Solution

The correct option is A 'B' cannot bring any legal action against 'A'.
According to the section $24$ of Indian Contract Act defines the agreement is void if considerations and objects in part is unlawful. If any part of a single consideration for one or more objects, or any one or any part of any one of several considerations for a single objects, is unlawful, the agreement is void. The reasonable conclusion drawn that B cannot bring any legal proceeding against A. Option (a) is correct.

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