Chapter II - Of Contracts, Voidable Contracts and Void Agreements
Section 10
Section 10: what agreements are contracts
Section 10 states the basic conditions for an agreement to be a contract: free consent, legally competent parties, lawful consideration and object, and no express declaration that the agreement is void.
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Need advice on Section 10?
This article is for general information. Refer to the Indian Contract Act, 1872 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void.
Nothing herein contained shall affect any law in force in India and not hereby expressly repealed by which any contract is required to be made in writing or in the presence of witnesses, or any law relating to the registration of documents.
Introduction
This section is a useful first screen for a commercial agreement. It does not mean every informal deal is enforceable: the parties, consent, exchange, purpose and any separate legal formality all need attention.
Key takeaways
Consent and capacity
All parties need free consent and legal competence; Section 11 supplies the individual-capacity rule.
Lawful exchange and purpose
Consideration and the object of the agreement must be lawful, and the Act must not expressly declare the agreement void.
Other formalities survive
Section 10 preserves other laws that require writing, witnesses or registration for particular contracts.
Identify the parties and their capacity
Confirm each contracting party and the authority of the person signing for an organisation. Section 11 addresses a natural person's age, sound mind and legal disqualification.
Test consent, consideration and purpose
Record what each party promises or provides. Check that consent is free and that the bargain's consideration and object are lawful; a clause cannot be saved merely by putting it in writing if the statute declares it void.
Check formality requirements outside Section 10
Determine whether the transaction needs a written instrument, witnesses or registration under another applicable law. Section 10 expressly preserves those requirements.
Practical checklist
Do
- Identify the contracting entities and authorised signatories.
- Describe each side's promised performance and consideration.
- Check whether another law requires writing, witnesses or registration.
Avoid
- Do not assume a signature alone cures unlawful purpose or absence of free consent.
- Do not assume Section 10 removes transaction-specific formalities.
Glossary
- Consideration
- The act, abstinence or promise forming the exchange for a promise, as defined by Section 2(d).
- Object
- The purpose of the agreement; it must be lawful under the Act.
Frequently asked questions
Does every agreement have to be written?
Section 10 does not impose a universal writing rule, but it expressly preserves other laws requiring writing, witnesses or registration for particular contracts.
Need help applying this provision to your situation?
Contact BizeneedLast updated 9 October 2026