Indian Contract Act 1872: Free Consent

Free Consent

Consent is free when it is not caused by coercion, undue influence, fraud, misinterpretation or mistake(Section 14). When the consent is caused by mistake, the agreement is void, but when caused by other factors it is voidable.
Now let us discuss each of these factors, which should not influence consent:

Coercion: Committing, or threatening to commit any act forbidden by the Indian Penal Code 1860, comes under Coercion. It also includes the unlawful detaining, or threatening to detain any property to the prejudice of any person whatever, with the intention of causing any person to enter into an agreement.
For Example: X says to Y, "I shall not return the documents of title relating to your wife's property, unless you agree to sell your house to me for ₹5000", 'Y' says, "All right, I shall sell my house to you for ₹5000; do not detain my wife's document of title", X has employed coercion; he cannot therefore enforce contract.

Undue Influence: Where the relations subsisting between the parties is in a position to dominate the will of the other & uses that position to obtain an unfair advantage over others.
 In this, the other party can avoid the contract and sue the party taking the unfair advantage.


Fraud: Fraud is an untrue statement made knowingly or without belief in its truth or recklessly, carelessly whether it be true or false with the intent to deceive.


Misinterpretation: "Misinterpretation does not involve deception but it is only an assertion of something by a person which is not true, though he believes it to be true. Misinterpretation could arise because of innocence of the person making it or because he lacks sufficient or reasonable ground to make it.





Mistake: When both the parties are unaware of the truth and the contract is entered by mistake. Both of them can avoid the contract.