Meaning Of Void Agreement In Business Law

The contract may also be considered inconclusive when an illicit asset or unlawful consideration is included in the contract. This may include the promise of sex, an illegal substance, or something else that causes either party to break the law. Exception 1-A person who sells the good business of a company may agree with the buyer to refrain from carrying out a similar activity within certain local limits, as long as the buyer or a person who deems ownership of the goodwill there carries out a similar activity there: provided that such limits seem appropriate to the court, taking into account the nature of the transaction. This section provides that any agreement affecting the life of another person as a couple is considered an avoidance agreement. .