Applicability of Section 56
Section 56 of the Indian Contract Act, 1872 plays a crucial role in the application of the Doctrine of Frustration. Section 56 states that agreements to do impossible acts will be considered void, and agreements will also be considered void when the contract becomes impossible or unlawful due to uncontrollable events.
For example,
- X agrees with Y to discover treasure by magic. The agreement would be held void.
- X and Y enter into a contract to marry each other. Before the time fixed for marriage, X goes lunatic. The contract here becomes void.
Section 56 of the Indian Contract Act of 1872 is based on the maxim “les non cogit ad impossibilia” which means that the law will not compel a man to do what he cannot possibly perform.
However, the contracts that specifically contain clauses to account for the consequences of unexpected developments are exempt from the application of the provisions of this section. In this case, the parties will still be obligated to adhere to the terms of the contract, even in the face of unforeseen events as the terms were explicitly mentioned in the contract.
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