Rule 8 of CPC : Rule 8: Denial of contract.

Explanation using Example

Example 1:

Scenario: Ramesh files a lawsuit against Suresh, claiming that Suresh agreed to sell him a piece of land for ₹10 lakhs and later refused to complete the sale.

Pleading by Ramesh: Ramesh alleges in his pleading that there was a contract between him and Suresh for the sale of the land.

Response by Suresh: Suresh files a written statement denying the existence of any such contract.

Application of Rule 8: According to Rule 8, Suresh's denial will be interpreted as a denial of the fact that the contract was made or the facts from which the contract could be implied. It will not be taken as a denial of the legality or sufficiency of the contract itself.

Outcome: The court will focus on whether the contract was actually made or whether the facts support the existence of such a contract, rather than questioning the legal validity of the contract at this stage.

Example 2:

Scenario: Priya sues her business partner, Anil, claiming that they had an oral agreement to share profits equally from their joint venture, but Anil has not honored this agreement.

Pleading by Priya: Priya alleges in her pleading that there was an oral contract between her and Anil to share profits equally.

Response by Anil: Anil files a written statement simply denying that any such oral agreement existed.

Application of Rule 8: Under Rule 8, Anil's denial will be taken as a denial of the fact that the oral agreement was made or the facts from which such an agreement could be implied. It will not be considered a denial of whether such an oral agreement is legally enforceable or sufficient under the law.

Outcome: The court will examine whether there was indeed an oral agreement or whether the circumstances imply such an agreement, without delving into the legal enforceability of the agreement at this point.