Contract is a law between the parties and it is for the parties. According to section 2 (h) an agreement eforceable by law is a contract and section 37 which says that ” the parties to contract must perform their obligations ” this indicates that contract is law between parties and they are bound by it.
On the basis of analysis of section 2(h) and section 37 it is clear that contract is law between parties and it is binding on them. This concept is also known as concept of ” Privity of contract”. While general law is made by legislature for all and is to binding to all .
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