LAW OF CONTRACT
The term law refers to rules of conduct enforced by the State to maintain
peace and order in
the society. Broadly speaking, law may be defined as the rules of conduct
recognized and
enforced by the state to control and regulate the conduct of people, to
protect their property and
contractual rights with a view to securing justice, peaceful living and
social security.
1.1.1 Definition: Definitions of the term law by some eminent scholars are
given below:
1. According to Salmond, “Law is the body of principles recognized and
applied by the state in
administration of justice”.
2. Austin says, “A law is a rule of conduct imposed and enforced by the
sovereign”.
3. In the words of Holland, “law is a rule of external human actions
enforced by sovereign
political authority”.
4. According to Woodrow Wilson, “Law is that portion of the established
habit and thought of
mankind which has gained distinct and formal recognition in the shape of
uniform rules
backed by authority and power of the government”.
1.1.2 Mercantile Law
Law being a wider subject touches all walks of our life. There are various
branches of law
concerning specific aspects e.g., civil, criminal, administrative,
constitutional, business, labour
laws, etc.
The legal framework within which different business firms have to operate
are largely governed
by General Laws applicable to all forms of organisations-irrespective of
their size and
The term law refers to rules of conduct enforced by the State to maintain
peace and order in
the society. Broadly speaking, law may be defined as the rules of conduct
recognized and
enforced by the state to control and regulate the conduct of people, to
protect their property and
contractual rights with a view to securing justice, peaceful living and
social security.
1.1.1 Definition: Definitions of the term law by some eminent scholars are
given below:
1. According to Salmond, “Law is the body of principles recognized and
applied by the state in
administration of justice”.
2. Austin says, “A law is a rule of conduct imposed and enforced by the
sovereign”.
3. In the words of Holland, “law is a rule of external human actions
enforced by sovereign
political authority”.
4. According to Woodrow Wilson, “Law is that portion of the established
habit and thought of
mankind which has gained distinct and formal recognition in the shape of
uniform rules
backed by authority and power of the government”.
1.1.2 Mercantile Law
Law being a wider subject touches all walks of our life. There are various
branches of law
concerning specific aspects e.g., civil, criminal, administrative,
constitutional, business, labour
laws, etc.
The legal framework within which different business firms have to operate
are largely governed
by General Laws applicable to all forms of organisations-irrespective of
their size and
