Mr. A was running an orphanage. His friend Mr. S, a philanthropist agreed to donate 2 lakh for treatment of a child, who was suffering from cancer.…

(i) The general rule is that an agreement made without consideration is void (Section 25 of the Indian Contract Act, 1872). However, in the following case, the agreement though made without consideration, will be valid and enforceable. Charity: If a promisee undertakes the liability on the promise of the person to contribute to charity, there the contract shall be valid. In the instant case, Mr. A can claim 1.5 lakh from Mr. S. (ii) According to Section 69 of the Indian Contract Act, 1872, a person who is interested in the payment of money which another is bound by law to pay, and who therefore pays it, is entitled to be reimbursed by the other. In the instant case, Mr. M paid the electricity bill to avoid the disconnection that was pending due to Mr. L's failure to fulfil his contractual obligation. Hence, Mr. M is entitled to be reimbursed - 50,000 from Mr. L.