Section 36 of ICA : Section 36: Agreement Contingent On Impossible Events Void

Explanation using Example

Imagine a scenario where a person, Raj, agrees to sell his car to Simran for 200,000 rupees if she can climb Mount Everest within the next month. However, unknown to both parties at the time of agreement, the government had just announced a ban on all climbing expeditions for the entire season due to dangerous weather conditions, making the event of climbing Mount Everest within the next month impossible. According to Section 36 of The Indian Contract Act, 1872, this agreement would be considered void because it is contingent upon an impossible event.