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Under Section 28, agreements restricting a party's right to enforce legal rights in ordinary tribunals or limiting the time to enforce them are
A{'text': 'Enforceable only in arbitration', 'label': 'A'}
B{'text': 'Voidable at the option of both parties', 'label': 'B'}
C{'text': 'Enforceable if witnessed', 'label': 'C'}
D{'text': 'Void to the extent of that restriction', 'label': 'D'}
Answer & Solution
Correct answer: D. {'text': 'Void to the extent of that restriction', 'label': 'D'}
1. Section 28 protects a person's right to enforce contracts in ordinary tribunals.
2. Agreements that absolutely restrict such right are void to that extent.
3. Agreements that limit the time within which the rights may be enforced are also void.
4. A contract to refer disputes to arbitration is a recognised exception.
_Source: Indian Contract Act, 1872 (indiacode.nic.in), S. 28_
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