Module 1

1. Legal Right

• Definition: A claim or privilege recognized and enforced by law.

• Key Principle: "Ubi jus, ibi remedium" – where there is a right, there is a remedy.

• Example:

o Ms. Aditi Agrawal has the legal right to own land. If someone illegally occupies her
land, she can approach the court for a remedy.

2. Jurisdiction

• Definition: The legal authority of a court to hear and decide a case.

• Types of Jurisdiction:

1. Subject Matter Jurisdiction: Power to hear specific types of cases.

▪ Example: Family courts handle divorce cases.

2. Territorial Jurisdiction: Authority limited to a specific geographical area.

▪ Example: A district court in Bangalore cannot try a case from Mumbai.

3. Appellate Jurisdiction: Authority to review decisions of lower courts.

▪ Example: High Courts hear appeals from subordinate courts.

4. Pecuniary Jurisdiction: Authority based on the monetary value of the dispute.

▪ Example: Small Claims Courts deal with cases involving smaller financial
claims.

3. Civil and Criminal Cases

• Civil Case: Resolves private disputes between individuals or entities.

o Example: If a supplier fails to deliver goods as per contract, the buyer can sue for
damages.

o Case Illustration: Ms. Manasvi Chechani sues Ms. Divyanshi for non-delivery of
mangoes.

• Criminal Case: Involves offenses against the state or society.

o Example: A person committing theft will be prosecuted by the state.

o Case Illustration: State vs. Mr. Vikram Rathi for assault.

4. Principles of Natural Justice

 1. Rule Against Bias (Nemo judex in causa sua):

o Meaning: Decision-makers must be impartial.

o Example: A minister awarding a contract to a company he partially owns violates this

principle.

2. Rule of Fair Hearing (Audi alteram partem):

o Meaning: Everyone must have an opportunity to be heard.

o Example: If a business license is canceled without a hearing, it violates this rule.

5. Law of Limitation

• Definition: Legal time limits within which a case must be filed.

• Key Details:

o For contractual disputes: 3 years from the date of breach.

o No limitation for serious crimes like murder.

• Example:

o Ms. Manasvi Chechani must file her breach-of-contract case against Ms. Divyanshi
within 3 years.

6. Public Interest Litigation (PIL)

• Definition: Legal action initiated to protect the public interest.

• Famous Cases:

o MC Mehta vs. Union of India: Environmental protection (Taj Mahal pollution case).

o Ratlam Municipality vs. Vardichand: Mandated proper sanitation facilities.

7. Substantive and Procedural Law

• Substantive Law: Defines rights and duties.

o Example: Indian Contract Act, 1872 outlines rules for forming valid contracts.

• Procedural Law: Provides the process to enforce substantive rights.

o Example: Code of Civil Procedure, 1908 prescribes how civil cases are tried.

8. Rights of the Accused

• Pre-trial Rights:

o Right to legal representation.

 o Example: A court appoints a lawyer if the accused cannot afford one.

• Trial Rights:

o Presumption of innocence until proven guilty.

o Example: Prosecution must prove guilt beyond reasonable doubt.

• Post-trial Rights:

o Right to appeal against the verdict.

9. Examples of Bias in Decisions

• Personal Bias:

o Example: A judge presiding over a case involving a friend or relative.

• Pecuniary Bias:

o Example: Awarding contracts to a company in which the decision-maker has financial

stakes.

10. Real-World Case Studies

1. Civil Case Example:

o Ms. Manasvi vs. Ms. Divyanshi: Breach of contract for non-delivery of goods.

2. Criminal Case Example:

o State vs. Mr. Vikram Rathi: Assault and injury case prosecuted by the state.

3. Natural Justice Violation:

o Bias Example: Minister awarding contracts to his own company (Batra Builders Case).

o Hearing Example: Government blacklists a company without prior notice (Ms.

Mruganki Gupta Case).
Module 3

1. Definition of Contract

• Key Definition (Section 2(h) of the Indian Contract Act, 1872):

o "An agreement enforceable by law is a contract."

• Example: A signed employment agreement between a company and an employee is

enforceable by law, making it a contract.

2. Elements of a Valid Contract (Section 10, Indian Contract Act)

A contract is valid if it includes:

1. Free Consent:

o Agreement without coercion, fraud, undue influence, misrepresentation, or mistake.

o Example: If a seller forces a buyer into an agreement, the consent is not free, making
the contract voidable.

2. Competence to Contract:

o Parties must be of legal age, sound mind, and not disqualified by law.

o Example: A contract with a minor is void as they are not competent.

3. Lawful Consideration and Object:

o The purpose and exchange in the contract must be legal.

o Example: A contract to smuggle goods is void as its object is unlawful.

4. Not Declared Void:

o Must not fall under provisions that declare certain agreements void (Sections 23–
30).

o Example: Agreements restraining marriage or trade are void.

3. Formation of Contracts

• Offer (Section 2(a)): A proposal by one party.

• Acceptance (Section 2(b)): Agreement to the offer.

• Example: An e-commerce website listing products is an "invitation to offer." When a

customer places an order, it constitutes an offer, and the acceptance occurs when the seller
confirms.

4. Consideration (Section 2(d))

• Definition: The "quid pro quo" or "something for something" exchanged in the contract.
 • Example: A landlord allowing a tenant to live in a house in exchange for monthly rent is
consideration.

5. Types of Agreements

1. Void Agreement (Section 2(g)):

o Not enforceable by law.

o Example: A wager or bet is a void agreement.

2. Voidable Contract (Section 2(i)):

o Valid until one party rescinds it due to coercion, fraud, etc.

o Example: A contract signed under duress can be voided by the aggrieved party.

6. Mistake in Consent

• Definition: When both parties are under a mistaken belief about an essential fact, the
contract is void (Section 20).

• Example: If a buyer purchases a plot of land mistakenly believing it includes an adjoining

area, the contract is void.

7. Specific Contracts and Scenarios

1. Tender Contracts:

o Involve public or private invitations for bids.

o Example: A government calling for bids for infrastructure projects awards the tender
to the lowest bidder unless other criteria apply.

2. E-Commerce Contracts:

o Governed by terms like "click-wrap agreements" or "browse-wrap agreements."

o Example: Clicking "I agree" on an online store's terms before completing a purchase.

8. Principles from Landmark Cases

1. Carlill v. Carbolic Smoke Ball Co. (1893):

o A general offer to the public (e.g., reward offers) becomes binding upon acceptance.

2. Tata Cellular v. Union of India (1994):

o Emphasized transparency in government tenders and allowed quality-based criteria.

9. Free Consent and its Vitiating Factors (Sections 13–22)

• Factors that Destroy Consent:

1. Coercion: Threat or force (Section 15).

2. Undue Influence: Exploitation of power (Section 16).

3. Fraud: Intentional deception (Section 17).

4. Misrepresentation: False statements (Section 18).

5. Mistake: Misunderstanding of essential facts (Sections 20–22).

• Example: A tenant forced to sign a lease agreement under threat can void the contract.

10. Application of Tender Contracts

• Process:

1. Advertisement for tenders (invitation to offer).

2. Submission of bids (offer).

3. Acceptance by the inviting party.

• Example: A company selects a supplier from tender bids for its new project.
Module 4

1. Written vs. Oral Contracts

• General Rule: Under the Indian Contract Act, contracts can be oral or written unless a
specific law mandates a written form for legal validity.

• Advantages of Written Contracts:

1. Provide a clear record of terms.

2. Offer stronger evidence in legal disputes.

• Example:

o Written: An employment contract outlines duties, salary, and conditions in clear

terms.

o Oral: A promise to repay a friend for a personal loan.

2. Legal Provisions Requiring Written Contracts

Certain contracts must be in writing for legal enforceability:

1. Sale of Immovable Property:

o Relevant Law: Section 54, Transfer of Property Act.

o Example: Sale of land requires a written and registered sale deed.

2. Natural Love and Affection:

o Relevant Law: Section 25(1), Indian Contract Act.

o Example: A father's promise to gift diamond earrings to his daughter must be

written and registered to be enforceable.

3. Revival of Time-Barred Debts:

o Relevant Law: Section 25(3), Indian Contract Act.

o Example: Two parties revive a 5-year-old unpaid debt through a new written
agreement.

4. Transfer of Copyrights:

o Relevant Law: Section 19, Copyright Act.

o Example: Selling the copyright of a book must be done through a written contract.

5. Patent Transactions:

o Relevant Law: Section 68, Patents Act.

o Example: Licensing a patent requires a written agreement.

3. Importance of Parol (Oral) Contracts

• Why Allowed:

o Oral contracts are practical for everyday transactions like buying groceries or hiring
a taxi.

o Imposing mandatory writing would cause inconvenience for smaller deals.

• Challenges:

o Burden of proof and issues with evidentiary support.

4. Examples of High-Stakes Written Contracts

• Employment Agreements.

• Vendor Contracts for large-scale supply.

• Sale or lease agreements for property.

5. Insights from Landmark Cases

• Samuel Goldwyn’s Quote:

o "A verbal contract isn’t worth the paper it’s written on."

o Reflects the importance of written agreements for clarity and enforceability.

• Examples from the Document:

o Ms. Brejeshna Kurnool’s land sale: A sale deed is executed and registered to
transfer ownership.

o Reviving debts: Mr. Mandeep Roy and Mr. Yash Gupta’s agreement revives a time-
barred debt.

6. Key Takeaways for Practical Application

• Written contracts are preferred for high-value or complex agreements.

• Oral contracts are legally valid but require strong evidence in disputes.

• Consult a lawyer for critical agreements or when in doubt about legal requirements.
Module 5

1. Contract of Indemnity (Sections 124-125)

• Definition: A contract where one party promises to compensate the other for a loss caused
by the promisor or a third party.

• Example: Car insurance policies—if a car is damaged in an accident, the insurance company
compensates the insured party.

2. Contract of Guarantee (Section 126)

• Definition: A contract involving a promise to discharge the liability of a third person in case
of default.

• Example: A company guarantees payment to a supplier on behalf of a distributor.

3. Contract of Bailment (Sections 148-181)

• Definition: The delivery of goods from one person (bailor) to another (bailee) for a specific
purpose, with an agreement for their return.

• Example: Leaving clothes with a dry cleaner.

4. Contract of Pledge (Section 172)

• Definition: A form of bailment where goods are delivered as security for payment of a debt
or performance of a promise.

• Example: Pledging gold jewelry with a moneylender for a loan.

5. Contract of Agency (Sections 182-238)

• Definition: A relationship where one person (agent) acts on behalf of another (principal) in
dealings with third parties.

• Example: A real estate agent selling a property on behalf of the owner.

6. Contract of Hypothecation (Hybrid)

• Definition: Combines elements of bailment, hire purchase, and sale. Used for securing
loans with movable assets without transferring possession.

• Example: A car loan where the bank retains ownership of the car until the loan is repaid.
Module 6

1. Contract of Indemnity (Sections 124-125)

• Definition: One party promises to protect the other from losses caused by the promisor or
a third party.

• Example: Car insurance contracts—if a vehicle is damaged, the insurer compensates the
insured party.

2. Contract of Guarantee (Section 126)

• Definition: A promise to discharge the liability of a third party in case of default.

• Example: IMT-Dubai purchasing computers, backed by a guarantee from a supplier’s

associate to ensure contractual obligations.

Key Concepts:

• Surety: The guarantor.

• Principal Debtor: The one whose default is guaranteed.

• Creditor: The one receiving the guarantee.

3. Contract of Bailment (Sections 148-181)

• Definition: Delivery of goods by one party (bailor) to another (bailee) for a specific
purpose, with an agreement for return or disposal.

• Example: Leaving clothes at a dry cleaner or delivering fabric to a boutique for stitching.

Duties:

• Bailor: Must disclose defects (Section 150).

• Bailee: Must care for goods and return any additional profit (e.g., a calf born from a bailed
cow).

4. Contract of Pledge (Section 172)

• Definition: Bailment where goods are delivered as security for repayment of a debt or
fulfillment of a promise.

• Example: Pledging gold for a loan.

Rights of Pawnee:

• Right to retain goods (Section 173).

• Right to sell pledged goods upon default (Section 176).

5. Contract of Hypothecation

• Definition: A hybrid involving bailment, hire purchase, and sale, often used for loans
secured by movable assets.

• Example: A bank providing a car loan with the vehicle as collateral.

6. Contract of Agency (Sections 182-238)

• Definition: One person (agent) acts on behalf of another (principal) in dealings with third
parties.

• Example: Franchises like McDonald's or NIIT operate on agency contracts.

Principles:

• Doctrine of Respondeat Superior: Employer liability for agent’s acts during employment.

Case Studies:

• Appointing a power of attorney for property transactions.

• Agency of necessity—selling goods to prevent loss during unforeseen events like a strike.
Module 7

1. Sole Proprietorship

• Definition: A business owned and managed by a single individual, with no distinction

between the owner and the business entity.

• Features: Easy to establish, full control, unlimited liability.

• Example: A neighborhood grocery store run by a single person.

2. Hindu Undivided Family (HUF)

• Definition: A business owned by a family, governed by Hindu law, with the eldest male
member as the "Karta."

• Features: Membership by birth, tax benefits, and collective ownership.

• Example: A family-run textile business.

3. Partnership

• Definition: A business operated by two or more people under a shared agreement.

• Types:

o Partnership at Will: Flexible with no fixed tenure.

o Joint Venture: Specific purpose partnerships, like construction projects.

• Example: A law firm jointly managed by multiple lawyers.

4. Limited Liability Partnership (LLP)

• Definition: A hybrid of a partnership and a company, offering limited liability to partners.

• Features: Separate legal entity, minimal compliance.

• Example: A consultancy firm with two partners.

5. Private Limited Company

• Definition: A company with limited liability and restrictions on the transfer of shares.

• Features: Requires 2-200 members, separate legal entity.

• Example: A startup tech company.

6. Public Limited Company

• Definition: A company that offers shares to the public.

 • Features: No limit on members, public subscription allowed.

• Example: Reliance Industries Limited.

7. Cooperative Society

• Definition: A business owned and operated by a group for mutual benefit.

• Features: Democratic control, voluntary association.

• Example: Amul, a dairy cooperative.

8. Section 8 Company

• Definition: A non-profit organization promoting commerce, arts, science, or charity.

• Features: No dividend distribution, profits used for stated objectives.

• Example: Teach for India.

9. Government Company

• Definition: A company in which the government holds at least 51% of the shares.

• Example: Bharat Heavy Electricals Limited (BHEL).

10. Foreign Company

• Definition: A company incorporated outside India but conducting business in India.

• Example: Google India Private Limited.

11. One Person Company (OPC)

• Definition: A company formed by a single person, introduced under the Companies Act,
2013.

• Features: Limited liability, ease of management.

• Example: A sole entrepreneur's online retail store.

Module 8

Key Themes and Insights

1. Importance of IPRs:

o IPRs protect creations of the human mind, ensuring exclusive rights to inventors
and creators, incentivizing innovation.

o Examples include technology companies like Microsoft, Apple, and Google

leveraging patents to secure a competitive edge.

2. Historical Evolution:

o Earliest references date back to 500 B.C. with Greek culinary monopolies.

o Key milestones include the British Statute of Monopolies (1624) and the Statute of
Anne (1709).

o Modern global frameworks are shaped by treaties like the TRIPS Agreement
(1994), administered by the WTO.

3. Types of IPRs:

o Patents: Protect new inventions like the "Multi-Utility Remote (MUR)" by Kanika
Dahiya.

o Trademarks: Ensuring brand identity beyond a patent's lifespan, e.g., Bayer's

Aspirin®.

o Copyrights: Safeguarding creative works, from literature to software.

o Trade Secrets: For confidential business information.

4. Legal Procedures for Patents in India:

o Steps for obtaining a patent include ensuring novelty, conducting patent searches,
and drafting clear claims.

o Non-patentable inventions include abstract theories, mathematical formulas, and

methods of treatment.

5. Case Studies and Examples:

o Microsoft and Android Licensing: Generated billions through royalty agreements.

o IBM's Turnaround Strategy: Monetized its patent portfolio to recover from

significant financial losses.

o Apple vs. Samsung: Showcased the intensity of design-patent disputes in the tech
industry.

6. Franchising as an IP Model:

o Brands like McDonald's and KFC use trademarks to expand globally through
franchising.
 o Indian success stories include NIIT leveraging franchising to become a global leader
in IT education.

7. Controversial Issues:

o Compulsory licensing, such as in the Bayer-Natco case, enabling affordable access

to life-saving drugs.

o Challenges in patenting life forms, highlighted by landmark cases like Diamond v.

Chakrabarty.

8. Global Trade and IP:

o The integration of IP into global trade systems through GATT and WTO agreements
ensures harmonization across nations.

Significant Quotes

• "Patents add fuel to the fire of genius." – Abraham Lincoln

• "IP is the biggest asset class on the planet in terms of value." – Rodney Ryder & Ashwin
Madhavan

• "Money fueled the industrial society, but knowledge powers the informational society." –
John Kenneth Galbraith