A contract defines the legal obligations of two or more parties with respect to a particular venture, undertaking or arrangement. The parties to such agreement are bound by the terms inherent in the contract and the sanctity of the agreement is ever maintained.
Though, a contract between parties is purely private to the parties therein, and are at an endless liberty to enter into contract however, for the parties to fully enjoy the benefits anticipated by the agreement, such contract, amongst other things must not be illegal. Contracts would be rendered void if the terms are in violation of extant statutory provisions.
The Court of Appeal in PRIMEVIEW HOTEL LTD & Anor v. HOTEL PRESIDENTIAL & Ors (2020) 35 WRN, 123 per Bolaji JCA while resolving one of the issues for determination in the appeal suit stated:
“Any contract or transaction which seeks to circumvent the provisions of statute is ex-facie illegal and no party takes benefit from it.”
Key Contributor: Wale Toheeb Adeabo