The Indian Contract Act 1872, Section 2(e), defines an agreement as “any promise and set of promises that are the counterpart to each other is an agreement.” A promise is essentially an offer or proposal made by one person or institution to another. The agreement of the other leads to the acceptance of the offer; and reach an agreement. The Supreme Court also upheld the validity of the oral agreements to Alka Bose Vs Parmatma Devi-Ors. (Civil Appeal 6197 of 2000) From this section, we can therefore conclude the necessary things to make an agreement a valid contract: these cases show that oral consent is legally applicable, but proving such an agreement is a huge task. A written agreement is itself proof that there has been agreement, but an oral agreement is only an oral communication of proposals and acceptance, which will be difficult to prove in the future in the event of a dispute. The burden of proof rests entirely with the person who asserted the right to prove the existence of an oral agreement. Such an oral agreement can be proved either by the registration of such an agreement at the time of the innition, or by a witness with whom such an agreement took place. Without the testimony of the agreement, the aunt could have 200 dollars and a decent relationship with her nephew. This was done by Delhi High Court, in the case of Nanak Builders and Investors Pvt. Ltd. vs. Vinod Kumar Alag AIR 1991 Delhi 315, the court having decided that even an oral agreement can be a valid and enforceable contract.
Therefore, it is not strictly necessary, in the strict sense, for a contract to be entered into in writing, unless the parties themselves are considering reducing the terms of the contract. In fact, the infringements apply to oral contracts in the same way as for written contracts. Here too, the only difference lies in the fact that one is written and the other verbal, and of course, that oral contracts are much more difficult to prove. Many oral contracts are legally binding, but the possibility that a party will not respect its commitment still exists; That`s why people often prefer to make their deals in writing. Generally speaking, an infringement may occur if the contractual conditions are not met. This means that if one party wishes to sue for breach of an oral contract, the non-injurious party must not only prove the existence of a contract, but also that the other party has breached the terms of the contract. For reasons of clarity, a contract is a formal process and can be written or oral. Agreements can be considered as previous contracts, often less formal, but which can be formalized as soon as the elements of the contract are available. So they could help a friend build his house, but it`s still not a contract, unless the two parties accept several other elements of the same contract.