Mr. AT completed his M. Tech. qualification in April, 2022. He got married with Ms. Priya in November, 2022. He got an appointment as Technical…

CA Foundation · Business Laws · PYQS · September 2025
Mr. AT completed his M. Tech. qualification in April, 2022. He got married with Ms. Priya in November, 2022. He got an appointment as Technical Consultant in a very renowned company in USA on 2 nd February, 2023. He promised his wife that he will send - 30,000/- per month for her daily routine expenses. Mr. AT went to USA on 25 th October, 2023. He never sent any money to his wife. Mrs. Priya was not in a position to meet her daily expenses. She was facing severe financial issues regarding rent and other maintenance expenses. On 20 th March, 2024 during her telephonic discussion with Mr. AT, she came to know that he would never send her money. Due to her financial hardships, she decided to file a suit against him for 7,50,000/-. Whether Mrs. Priya would be able to recover the above amount according to provisions of the Indian Contract Act, 1872?

Suggested Answer and Working Notes:

As per Section 2(h) of the Indian Contract Act,1872 a contract is an agreement enforceable by law. It means that to become a contract an agreement must give rise to a legal obligation which means duly enforceable by law. As per Section 10 of the Indian Contract Act,1872, there must be an intention on the part of the parties to create legal relationship between them. Social or domestic type of agreements are not enforceable in court of law and hence they do not result into contracts. In the given case, Mr. AT and Mrs. Priya had not entered into an agreement which is legally enforceable by law. As per the facts of the case, Mr. AT agreed to pay to his wife Mrs. Priya - 30,000 per month while he was abroad. Mr. AT failed to pay the promised amount. Mrs. Priya sued him for the recovery of the amount. In view of the above, Mrs. Priya cannot recover any amount as it was a social agreement and the parties did not intend to create any legal relationships.

Topics: The Indian Contract Act, 1872

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