Indian Contract Act, 1872 · Chapter II: Of Contracts, Voidable Contracts and Void Agreements · Void agreements
Section 25: Agreement without consideration, void, unless it is in writing and registered, or is a promise to compensate for something done, or is a promise to pay a debt barred by limitation law
An agreement made without consideration is void, unless
(1) it is expressed in writing and registered under the law for the time being in force for the registration of [documents], and is made on account of natural love and affection between parties standing in a near relation to each other ; or unless
(2) it is a promise to compensate, wholly or in part, a person who has already voluntarily done something for the promisor, or something which the promisor was legally compellable to do; or unless;
(3) it is a promise, made in writing and signed by the person to be charged therewith, or by his agent generally or specially authorized in that behalf, to pay wholly or in part a debt of which the creditor might have enforced payment but for the law for the limitation of suits.
In any of these cases, such an agreement is a contract.
Explanation 1.Nothing in this section shall affect the validity, as between the donor and donee, of any gift actually made.
Explanation 2.An agreement to which the consent of the promisor is freely given is not void merely because the consideration is inadequate; but the inadequacy of the consideration may be taken into account by the Court in determining the question whether the consent of the promisor was freely given.
Illustrations
(a) A promises, for no consideration, to give to B Rs. 1,000. This is a void agreement.
(b) A, for natural love and affection, promises to give his son, B, Rs. 1,000. A puts his promise to B into writing and registers it. This is a contract.
(c) A finds Bs purse and gives it to him. B promises to give A Rs. 50. This is a contract.
(d) A supports Bs infant son. B promises to pay As expenses in so doing. This is a contract.
(e) A owes B Rs. 1,000, but the debt is barred by the Limitation Act. A signs a written promise to pay B Rs. 500 on account of the debt. This is a contract.
(f) A agrees to sell a horse worth Rs. 1,000 for Rs. 10. As consent to the agreement was freely given. The agreement is a contract notwithstanding the inadequacy of the consideration.
(g) A agrees to sell a horse worth Rs. 1,000 for Rs. 10. A denies that his consent to the agreement was freely given.
The inadequacy of the consideration is a fact which the Court should take into account in considering whether or not As consent was freely given
Source: India Code (indiacode.gov.in), the consolidated text published by the Legislative Department, Government of India. Text as updated on India Code on 15 October 2026. Words in square brackets [ ] were inserted or substituted by later amending Acts, and *** marks words omitted by an amendment. The amendment footnotes are not reproduced here. Official text on India Code.
Supreme Court judgments citing the section 25
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M/S Sonali Power Equipments Pvt. Ltd. v. Chairman, Maharashtra State Electricity Board, Mumbai & Ors.
(i) Whether the Limitation Act applies to conciliation proceedings u/s.18 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), and even if not, whether time-barred debts can be referred to…
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Tottempudi Salalith v. State Bank of India &
Issues arose as to whether the d ebts in connection with the recovery certificate issued in the year 2015, could form subject matter of an application u/s.7 IBC; whether the the banks having approached the DRT, were…
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K. Hymavathi v. The State of Andhra Pradesh &
High Court if justified in quashing the criminal proceedings filed by appellant against respondent No.2-accused u/ss.138 and 142 of the Negotiable Instruments Act, 1881 holding that it was a fit case for quashing since…
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- N. Rajendran v. S. Valli
- Placido Francisco Pinto (D) by Lrs. & Anr v. Jose Francisco Pinto & Anr.
- Asset Reconstruction Company (India) Limited v. Bishal Jaiswal & Anr.
- Sridevi Datla v. Union of India and Ors.
- Ganesan Rep by Its Power Agent G. Rukmani Ganesan v. The Commissioner, the Tamil Nadu Hindu Religious and Charitable Endowments Board & Ors.
- B.K. Educational Services Private Limited v. Parag Gupta and Associates
- Baleshwar Dayal Jaiswal v. Bank of India & Ors.
- Rajesh Patel v. State of Jharkhand
- Nagendrappa Natikar v. Neelamma
- United India Insurance Co. Ltd. v. Laxmamma & Ors.
- Ketan v. Parekh v. Special Director, Directorate of Enforcement and Another.
- Commissioner of Customs & Central Excise v. M/S. Hongo India (P) Ltd. & Anr.
- Ranganayakamma and Another v. K.S. Prakash (D) by L.Rs. and Others
- Deddappa & Ors. v. The Branch Manager, National Insurance Co. Ltd.
- A.V. Murthy v. B.S. Nagabasavanna
- National Insurance Co. Ltd. v. Seema Malhotra and Others
- Mis. John Tinson and Co., Pvt. Ltd. and Ors. Etc. v. Mrs. Surjeet Malhan and Anr. Etc.