Legal Question in Business Law in India

Contract Law

1. Alban�s house was badly damaged by a storm in March. He engaged me, a builder, to repair the damage. I told Alban that the work would cost Rs4000 and that it would be finished by 1 May. Alban wanted to put the house up for sale in May and accepted my terms.

2. I started work early in April but my progress was hampered by bad weather. Two weeks later I informed Alban that I would only continue the work if Alban agreed to raise the contract price to Rs 5000, to cover overtime costs. Reluctantly Alban promised to pay the new price. I then completed the repairs before the end of April and sent Alban his bill for Rs5000 but Alban said that he was now in financial difficulties and could only afford to pay Rs3000 in full settlement. Fearing that I would otherwise receive no payment at all, I accepted Rs3000 in full settlement. I recently learned that Alban�s plans to go to Africa on safari for two months later this year.

3. Please Advise me whether I have any right to further payment from Alban.


Asked on 8/03/04, 6:41 am

3 Answers from Attorneys
Vimal Kishor Falcon Services

Re: Contract Law

In law of contract, for a valid contract, primary condition to be satisfied is offer and its acceptance. In the present case following offer(s) had been made,

offer to complete the work at Rs.4000/-, which was accepted

conditional offer to increase the contract amount to Rs. 5000/-, which was reluctantly accepted

and the offer to settle the bill at 3000/- which also was accepted, due to fear of non receipt of full amount.

In all the above cases condition of offer and acceptance is satisfied and according to the terms parties acted upon.

Only way available is to make further offer in pursuance of the final conditions of the final payment made by the Alban.

Vimal Kishor

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Answered on 8/07/04, 12:36 am
G B SABARI DAS R.SUBRAHMANYAM & ASSOCIATES

Re: Contract Law

You have no right for seeking further payment after having received the money in full and final settlement of all claims of yours.

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Answered on 8/04/04, 12:15 am
Jayesh Desai Jayesh Desai

Re: Contract Law

Based on the limited information provided by you - you have no further rights, once you accepted amount by way of full and final settlement.

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Answered on 8/05/04, 5:20 am


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