Multiple choice

A businessman enters into an agreement with a Chartered Accountant to pay him fees and commission for the tax saved by so arranging the accounts as to conceal the true income of the business. Any dispute between the businessman and the Chartered Accountant on the fee and commission is to be settled by arbitration. The agreement is

  1. void

  2. voidable

  3. voidable in part

  4. void in part
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A Correct answer
Explanation

The object of the agreement is unlawful so where a businessman enters into an agreement with a Chartered Accountant to pay him fees and commission for the tax saved by so arranging the accounts as to conceal the true income of the business. Any dispute between the businessman and the Chartered Accountant on the fee and commission is to be settled by arbitration. The agreement is void. 

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