Haryana Judicial Service (Civil Judge) Prelims 2010 Previous Year Question Papers with MCQ Answers

The correct option is B: Void.

Illegality renders a contract void or unenforceable, meaning that the contract is invalid and cannot be enforced by either party. A contract may be illegal if it violates a statute, a common law rule, or public policy. For example, a contract that requires one party to commit a crime, or a contract that is contrary to the public interest, would be illegal and void.

Some additional information that might be helpful for you are:

- A contract may be illegal either expressly or impliedly. An express illegality occurs when a statute explicitly prohibits a type of contract or term. An implied illegality occurs when the objective of the legislation is to forbid the contract, even if it is not stated explicitly.

- The consequences of illegality may vary depending on the nature and extent of the illegality, the knowledge and intention of the parties, and the public interest involved. In some cases, the court may sever the illegal part of the contract and enforce the rest, or allow one party to recover on the basis of quantum meruit (the value of the services rendered) or restitution (the return of the benefits conferred).

- The doctrine of illegality aims to uphold the integrity of the legal system and deter unlawful conduct. However, it may also raise issues of fairness, justice, and proportionality, especially when one party is more innocent or less culpable than the other.