Question

All contracts are agreements. Only agreements enforceable by law are contracts. Y is a government official tasked with issuing driving licenses to applicants who meet the criteria. X has applied for a driving license but does not meet the criteria. X and Y enter into an oral agreement that X will pay Y Rs. 5000 to issue a driving license to X. With reference to the facts given above, X says “I have entered into a contract with Y.”

• A. X is wrong because the agreement is not in writing.
• B. X is wrong because an agreement not enforceable by law is not a contract.
• C. X is right.
• D. There is insufficient information to reach the conclusions in Options a, b and c

Answer 1

Answer: (B)

X is wrong because an agreement not enforceable by law is not a contract.

Answer 2

The correct option is (B): X is wrong because an agreement not enforceable by law is not a contract.