Correct option is C
The
Indian Contract (Amendment) Act, 1997 amended
Section 28 of the
Indian Contract Act, 1872. Before the amendment, Section 28 restricted agreements that limited the time period for enforcing contracts, rendering such agreements void. However, after the amendment, the section was modified to allow certain time-barred contracts to have enforceable terms regarding the limitation of claims, provided that the contract is reasonable.
Section 28 Before Amendment:
· Prior to the amendment, agreements that restricted legal proceedings to a specific time period were considered void, as they were seen as an attempt to oust the jurisdiction of courts.
Section 28 After Amendment (1997):
· The amendment allowed parties to agree upon
time limits for claims to be raised in certain commercial contracts, provided that these limits were
reasonable. This amendment facilitated smoother commercial transactions by making dispute resolution more predictable.
Additional Knowledge:
·
Section 26 deals with
restraints of marriage.
·
Section 27 deals with
restraints of trade.
·
Section 75 deals with the compensation for rescission of voidable contracts.
