Question

Jean Valjean has an adventure sports equipment shop. This shop is the only adventure sports equipment shop in the city of Nagpur. Cosette a young (adult) adventure enthusiast intends to begin a start up by setting up an adventure sports equipment shop along with adventure experience services like hiking, trekking, nature trail cycling etc. Understanding Cosette as a competitor, Jean Valijean looks at an opportunity to tie-up with Cosette and both agree to the following deal and have signed a contract to that extent: i. Both will divide the territory of Nagpur in two parts between themselves and each one will sell and market in their respective territory only. In case of any sale queries coming from the other’s territory, they will inform them. ii. Both will share the price list and adhere to the price. In other words neither of them will sell below the price. iii. They will create an adventure certification program and tie up with Nagpur local authorities for endorsement. This program will be made compulsory for anyone starting a shop, outlet or startup for adventure sports equipment in the city of Nagpur.
a) Is the Agreement between Jean Valjean and Cosette valid or illegal. Please support your answer with reasons and legal provisions (5 Marks)
b) Which authority has the jurisdiction to decide the legality of such transactions and what are the powers of such authority (5 Marks)​

Answer 1

Answer:

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Explanation:

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Why People Ghost — and

Answer 2

Concept

An agreement is a promise or set of promises forming consideration for each other is an agreement. It may  be a promise to do something or not to do something.

To find

• Is the agreement between Jean Valijean and Cosette valid or illegal?

• Name of authority which has the jurisdiction to decide the legality of such transactions.

Explanation

No, the agreement between Jean Valijean and Cosette is not illegal, because of the following reasons:

• It is a promise between two persons and both people agreed.
• It is an agreement to combine businesses, not to do any illegal act like murder or something.
• An agreement is illegal and void if its object or consideration is forbidden by law or of is such nature that if permitted would breach the provisions of any law.

In India Government has given the power of deciding legality of agreements to the courts whether it is district court, High Court or The Supreme Court depending upon the nature of case.

Powers of the courts:

1. Summon each of the party of agreements.
2. Declare decision of case.
3. The High Court can overturn the decision of District Court, The Supreme Court can overturn the decision of The HIgh Court.

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