Section 95 of the Bharatiya Sakshya Adhiniyam, (BSA), 2023
Section 95 – Exclusion of Evidence of Oral Agreement
Overview:
Section 95 of the Bharatiya Sakshya Adhiniyam, 2023, addresses the admissibility of oral agreements in the context of written contracts, grants, or dispositions of property. It stipulates that once the terms of such documents have been proven according to Section 94, no oral agreement or statement shall be admitted to contradict, vary, add to, or subtract from its terms.(taxmanagementindia.com, advocatekhoj.com)
Key Provisions:
Exclusion of Oral Agreements:
Once the terms of a contract, grant, or other disposition of property, or any matter required by law to be reduced to the form of a document, have been proven according to Section 94, no evidence of any oral agreement or statement shall be admitted to contradict, vary, add to, or subtract from its terms.(advocatekhoj.com)
Exceptions:
Invalidating Facts: Any fact may be proved which would invalidate any document, such as fraud, intimidation, illegality, lack of due execution, lack of capacity in any contracting party, lack or failure of consideration, or mistake in fact or law.
Separate Oral Agreements: The existence of any separate oral agreement as to any matter on which a document is silent, and which is not inconsistent with its terms, may be proved.
Condition Precedent: The existence of any separate oral agreement constituting a condition precedent to the attaching of any obligation under such contract, grant, or disposition of property, may be proved.
Subsequent Oral Agreements: The existence of any distinct subsequent oral agreement to rescind or modify any such contract, grant, or disposition of property, may be proved, except in cases where such contract, grant, or disposition of property is by law required to be in writing or has been registered according to the law in force for the time being as to the registration of documents.
Usage or Custom: Any usage or custom by which incidents not expressly mentioned in any contract are usually annexed to contracts of that description, may be proved, provided that the annexing of such incident would not be repugnant to, or inconsistent with, the express terms of the contract.
Interpretation of Language: Any fact may be proved which shows in what manner the language of a document is related to existing facts.(advocatekhoj.com, thelawadvice.com, indiankanoon.org, taxmanagementindia.com)
Illustrations:
Example 1: A policy of insurance is effected on goods "in ships from Kolkata to Visakhapatnam". The goods are shipped in a particular ship which is lost. B sues A for the price. A may show that the goods were supplied on credit for a term still unexpired.(indiankanoon.org)
Example 2: A sells B a horse and verbally warrants him sound. A gives B a paper in these words-"Bought of A a horse for thirty thousand rupees". B may prove the verbal warranty.(indiankanoon.org)
Example 3: A hires lodgings of B, and gives B a card on which is written-"Rooms, ten thousand rupees a month". A may prove a verbal agreement that these terms were to include partial board. A hires lodging of B for a year, and a regularly stamped agreement, drawn up by an advocate, is made between them. It is silent on the subject of board. A may not prove that board was included in the term verbally.(indiankanoon.org)
Significance:
Section 95 reinforces the principle that written agreements, once proven, are the primary source of terms and conditions between parties. It limits the introduction of oral agreements that contradict or alter the written terms, thereby providing clarity and reducing disputes. However, it allows for exceptions where oral agreements may be admissible to address issues like fraud, lack of capacity, or to clarify ambiguities in the written document.
Conclusion:
This section aims to uphold the integrity of written documents while providing avenues to address situations where oral agreements may be relevant to the case. It ensures that the legal process remains fair and just, accommodating both written and oral forms of agreement within defined boundaries.
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