Multiple choice

An agreement will be void, if mistake is:

  1. of facts as well as of law

  2. of law

  3. of facts

  4. neither of facts or nor of law

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Under Indian Contract Act Section 20, an agreement is void if both parties are under a mistake regarding a matter of fact essential to the agreement. Under Section 21, mistake of law generally doesn't affect agreements (ignorantia juris non excusat), except for mistakes about foreign law. Therefore, for an agreement to be void, the mistake must be of facts (as law mistakes usually don't void contracts, except foreign law). Option A covers both scenarios.