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    Bindeshri Prasad v. Sarju Singh

    Lindsay, J.:— We are of opinion that the decree of the lower court must be affirmed. The facts are that on the 20th August, 1912, the father of the present defendant, Bindeshri Prasad, executed a promissory note in favour of the plaintiff for a certain sum.

    2. At the time this promissory note was executed the defendant's father was a ward of the Court of Wards, and, consequently, it follows that the contract evidenced by this promissory note was a void contract and that no debt resulted.

    3. After the release of the estate from the Court of Wards and the death of the defendant's father, the present defendant, on the 19th August, 1915, executed a bond for Rs. 3,000 in favour of the plaintiff.

    4. It is found that this sum of Rs. 3,000 was made up of Rs. 1,800 advanced at the time and that the balance, Rs. 1,200 represented the sum which had been secured by the promissory note executed by the defendant's father.

    5. The present suit was on this bond, and the courts below have decreed the claim. The argument in the court below as here is that in no case can the plaintiff recover this sum of Rs. 1,200 on the ground that there was an unlawful consideration.

    6. We think this plea cannot be maintained. We agree with the learned Judge of the court below that the consideration, so far as it concerns this sum of Rs. 1,200, was not an unlawful consideration within the meaning of section 23 of the Contract Act.

    7. Further it cannot, we think, be argued that there was no consideration for the bond so as to bring the case within the purview of section 25. It may be that there was no existing debt in respect of this sum of Rs. 1,200, but the fact remains that under this bond an advance of Rs. 1,800 was made to the defendant and that there was, therefore, real consideration for the bond. The Court below finds that the plaintiff would not have advanced Rs. 1,800 without the undertaking of the defendant to pay the money which had been advanced to his father.

    8. We are not concerned with the adequacy of the consideration. That is not a matter which has to be taken into account in considering a question of this kind (see Explanation 2 to section 25 of the Indian Contract Act). The decree of the court below is correct. The appeal fails and is dismissed with costs.

    9. Appeal dismissed.

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    Bindeshri Prasad v. Sarju Singh
    (Apr 4, 1923)