Set of the general law applicable Contract: The law of contract is that branch of law which determines the

circumstances in which promise made by the parties to a contract shall be legally binding on them. All of us enter into a number of contracts everyday knowingly or unknowingly. Each contract creates some right and duties upon the contracting parties. Indian contract deals with the enforcement of these rights and duties upon the parties. Indian Contract Act, 1872 came into effect from 1st September, 1872. CONTRACT [SECTION 2(h)]: A contract is an agreement enforceable by law. Thus, ESSENTIAL ELEMENTS OF A VALID CONTRACT [Section 10]: According to Section 10, All agreements are contracts if they are made by 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. The essential elements of a valid contract are: 1. Proper offer and proper acceptance. There must be an agreement based on a lawful offer made by person to another and lawful acceptance of that offer made by the latter. Section 3 to 9 of the contract act, 1872 lay down the rules for making valid acceptance 2. Lawful consideration: An agreement to form a valid contract should be supported by consideration. Consideration means something in return (quid pro quo). It can be cash, kind, an act or abstinence. It can be past, present or future. However, consideration should be real and lawful. 3. Competent to contract or capacity: In order to make a valid contract the parties to it must be competent to be contracted. According to section 11 of the Contract Act, a person is considered to be competent to contract if he satisfies the following criterion:

The person has reached the age of maturity.

The person is of sound mind. The person is not disqualified from contracting by any law.

4. Free Consent: To constitute a valid contract there must be free and genuine consent of the parties to the contract. It should not be obtained by misrepresentation, fraud, coercion, undue influence or mistake. 5. Lawful Object and Agreement: The object of the agreement must not be illegal or unlawful. 6. Agreement not declared void or illegal: Agreements which have been expressly declared void or illegal by law are not enforceable at law; hence they do not constitute a valid contract. 7. Intention to Create Legal Relationships:-when the two parties enter in to an agreement, there must be intention must be to create a legal relationship between them. If there is no such intention on the part of the parties .there is no contract between them .Agreements of a social or domestic nature does not contemplate legal relationship; as such they are not contracts. 8. Certainty, Possibility of Performance 9. Legal Formalities Types of contracts Kinds of contracts from the point of view Enforceability: A contract may be valid or voidable or void or unenforceable or illegal:1. Valid contract: An agreement which has all the essential elements of a contract is called a valid contract. A valid contract can be enforced by law. 2. Voidable contract [Section 2(i)]: An agreement which is enforceable by law at the option of one or more of the parties thereto, but not at the option of other or others, is a voidable contract. If the essential element of free consent is missing in a contract, the law confers right on the aggrieved party either to reject the contract or to accept it. However, the contract continues to be good and enforceable unless it is repudiated by the aggrieved party.

Usually a contract becomes voidable when the consent of one of the parties to the contract is obtained by coercion, under influence, misrepresentation or fraud. Such a contract is voidable at the option of the aggrieved party,the party whose consent was so caused(section 19 & 119 A) but the aggrieved party must exercise his option of rejection of contract (i) Within reasonable time (ii) Before rights of third parties intervene otherwise the contract cannot be repudiated. 3. Void contract [Section 2(j)]: A void contract is a contract which ceases to be enforceable by law. A contract when originally entered into may be valid and binding on the parties. It may subsequently become void. -- There are many judgments which have stated that where any crime has been converted into a "Source of Profit" or if any act to be done under any contract is opposed to "Public Policy" under any contract -- than that contract itself cannot be enforced under the law4. Illegal contract: A contract is illegal if it is forbidden by law; or is of such nature that, if permitted, would defeat the provisions of any law or is fraudulent; or involves or implies injury to a person or property of another, or court regards it as immoral or opposed to public policy. These agreements are punishable by law. These are void-ab-initio. All illegal agreements are void agreements but all void agreements are not illegal. 5. Unenforceable contract: Where a contract is good in substance but because of some technical defect cannot be enforced by law is called unenforceable contract. These contracts are neither void nor voidable. Kinds of contracts from the point of view of made of creation: 1. Express contract: Where the terms of the contract are expressly agreed upon in words (written or spoken) at the time of formation, the contract is said to be express contract.

2. Implied contract: An implied contract is one which is inferred from the acts or conduct of the parties or from the circumstances of the cases. Where a proposal or acceptance is made otherwise than in words, promise is said to be implied. Kinds of contracts from the point of view of the extent of execution: 1. Executed contract: An executed contract is one in which both the parties have performed their respective obligation. 2. Executory contract: An executory contract is one where one or both the parties to the contract have still to perform their obligations in future. Thus, a contract which is partially performed or wholly unperformed is termed as executory contract. AGREEMENT [SECTION 2(e)]: An agreement means, Every promise or every set of promises, forming consideration for each other. So it is clear that promise is an agreement. All contracts are agreements but all agreements are not contracts

An agreement has 2 characteristics: Plurality of persons: There must be two or more persons to make an agreement because one person cannot enter into an agreement with himself. Consensus-ad-idem: Both the parties to an agreement must agree about the subject matter of the agreement in the same sense and the same time.

Treatment of the rules relating to the offer and acceptance PROPOSAL/OFFER [SECTION 2(a)]: A person is said to make a proposal when he signifies to another his willingness to do or to abstain from doing anything with a view to obtaining assent of that other to such act or abstinence The offer should be communicated to the offeree and it should not contain a term the non compliance of which would amount to acceptance. Legal rules & regulations of a valid offer: A valid offer must be maintained some legal rules & regulations this are given below:
1. An offer must be express or implied 2. An offer must be contemplate to give rise to legal consequences and be capable of

creating legal relations

3. The terms of offer must be certain and not loose or vague

4. An invitation to offer is not an offer 5. An offer may be specific or general 6. An offer must be communicated to the offeree 7. An offer should not contain a term the non compliance of which would amount to acceptance
8. An offer can be made subject to any terms and conditions.

Unilateral offer Its a general Offer, which is made to public in general.In a unilateral, or one-sided, contract, one party, known as the offeror, makes a promise in exchange for an act (or abstention from acting) by another party, known as the offeree. If the offeree acts on the offeror's promise, the offeror is legally obligated to fulfill the contract, but an offeree cannot be forced to act (or not act), because no return promise has been made to the offeror. After an offeree has performed, only one enforceable promise exists, that of the offeror.

Unilateral contract is an agreement to pay in exchange for performance, if the potential performer chooses to act. A "unilateral" contract is distinguished from a "bilateral" contract, which is an exchange of one promise for another.
Example of a unilateral contract: "I will pay you $1,000 if you bring my car from Cleveland to San Francisco." Bringing the car is acceptance. The difference is normally only of academic interest.

Acceptance: According to Section 2(b), "When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted." Thus the acceptance is the manifestation by the offeree of his asset to the terms of the offer. Legal rules & regulations: A valid offer must be maintained some legal rules & regulations this are given below:
1. Acceptance must be given only by the person to whom the offer is made.

2. Acceptance must be absolute and unqualified. 3. Acceptance must be expressed in some usual and reasonable manner, unless the proposal prescribes the manner in which it is to be accepted
4. Acceptance must be communicated by the acceptor.

5. Acceptance must be given within a reasonable time before the offer lapses. 6. . Acceptance must succeed the offer 7. Rejected offers can be accepted only, if renewed.

Possibility of revocation Revocation of Offer A proposal may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterwards. An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards. An offer is revoked (1) an offer lapses after stipulated or reasonable time(section 6(2)) (2) an offer lapses by not being accepted in the mode prescribed, or if no mode is prescribed, in some usual and reasonable manner(section 7) (3) an offer lapses by rejection (4) An offer lapses by the death or insanity of the offeror or the offeree before acceptance. (5) An offer lapses by revocation(section 6(1)) (6) Revocation by non fulfillment of a condition precedent to acceptance(section 6(3)) (7) An offer lapses by subsequent illegality or destruction of subject matter

Compare to the law of circumstance of the problem scenario

In this case study Doraemon made promise to his friends and he declared he will give 20,000 TAKA to anyone who can swim across the river. So by law the offer is under unilateral offer and it is valid because this contract follows the act 1872 (Section 10). The contract is valid contract and at a time Unenforceable contract. According to this consequence this is implied contract because both the Doraemon and Spongebob constituting an agreement enforceable by law. This contract was made by 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. This contract has the characteristics of a valid contract. Doraemon declare this offer with many people. Doraemon is promisor and Spongbob is the promisee. After pronounce the offer by Doraemon, Spongebob drive into the water at the same time but not in the same sense because he wanted to save the child so this is not a clear agreement. Doreamon signifies to another his willingness to do or to abstain from doing anything with a view to obtaining assent of that other to such act or abstinence. This offer is categorized by general offer, so Doreamon made a proposal or offer successfully. Doraemon offer 20000 taka expressly. He expressed it by spoken so its an expressed offer. This offer can be lapses by the rejection of the offeree (Doraemon) before accepting the offer. But after offering the offer by Doraemon, Spongebob start to swim so that indicates Spongebob accepts the offer and by law Doraemon unable to withdraw the offer after accepting the offer. So it is Doreamons

fault as he offer by general but when Spongebob start to swim he withdraw the offer which is not supported by law. Considering this entire situation we can say that, If Spongbob want to claim for 20,000 taka to Doraemon he can do it. So its an agreement and enforceable by law.