Question 1

A contingent contract dependent on the non happening of specified uncertain event within fixed time can be enforced if the event

Accepted Answer

A) Does not happen within fixed time 
B) Becomes impossible before the expiry of fixed time 
C) Happens within the fixed time 
D) Both (a) and (b) 
A) Does not happen within fixed time 
B) Becomes impossible before the expiry of fixed time 
C) Happens within the fixed time 
D) Both (a) and (b) D

Question 2

In commercial transactions, time is considered to be of the essence of contract, and if the party fails to perform the contract within specified time, the contract becomes

Accepted Answer

A) Voidable at the option of the other party 
B) Void and cannot be enforced 
C) Illegal for non compliance of legal terms 
D) Enforceable in higher court only 
A) Voidable at the option of the other party 
B) Void and cannot be enforced 
C) Illegal for non compliance of legal terms 
D) Enforceable in higher court only A

Question 3

An agreement in restraint of legal proceedings is void. It does not cover an agreement which

Accepted Answer

A) Restrict absolutely the parties from enforcing their legal rights. 
B) Cuts short the period of limitation 
C) Discharges a party from liability or extinguishes the rights of a party 
D) Provides for a reference to arbitration instead of court of law 
A) Restrict absolutely the parties from enforcing their legal rights. 
B) Cuts short the period of limitation 
C) Discharges a party from liability or extinguishes the rights of a party 
D) Provides for a reference to arbitration instead of court of law D

Question 4

The basis of 'quasi contractual relations' is the

Accepted Answer

A) Existence of a valid contract between the parties 
B) Prevention of unjust enrichment at the expense of others 
C) Provision contained in section 10 of the Contract Act 
D) Existence of a voidable contract between the parties 
A) Existence of a valid contract between the parties 
B) Prevention of unjust enrichment at the expense of others 
C) Provision contained in section 10 of the Contract Act 
D) Existence of a voidable contract between the parties

Question 5

What is legal terminology for the doing or not doing of something which the promisor desires to be done or not done?

Accepted Answer

A) Desires 
B) Wishes 
C) Considerations 
D) Promise 
A) Desires 
B) Wishes 
C) Considerations 
D) Promise

Question 6

A agrees to pay Rs.1000 to B if a certain ship returns within a year. However, the ship sinks within the year. In this case, the contract becomes

Accepted Answer

A) Valid 
B) Void 
C) Voidable 
D) Illegal 
A) Valid 
B) Void 
C) Voidable 
D) Illegal

Question 7

Where the performance of a promise by one party depends on the prior performance of promise by the other party, such reciprocal promises fall under category of

Accepted Answer

A) Mutual and Concurrent 
B) Conditional and dependent 
C) Mutual and independent 
D) Both (a) and (b) 
A) Mutual and Concurrent 
B) Conditional and dependent 
C) Mutual and independent 
D) Both (a) and (b)

Question 8

Sometimes, a person finds certain goods belonging to some persons. In such case, the finder

Accepted Answer

A) Becomes the owner of the goods and can use them 
B) Is under a duty to trace the true owner and return the goods 
C) Can sell the perishable goods if true owner cannot be found 
D) Both (b) and (c) 
A) Becomes the owner of the goods and can use them 
B) Is under a duty to trace the true owner and return the goods 
C) Can sell the perishable goods if true owner cannot be found 
D) Both (b) and (c)

Question 9

When after the formation of a valid contract, an event happens which makes the performance of contract impossible then the contract becomes

Accepted Answer

A) Void 
B) Voidable 
C) Valid 
D) Illegal 
A) Void 
B) Voidable 
C) Valid 
D) Illegal

Question 10

An agreement to pay money money's worth on the happening or non happening of a specified uncertain event is a

Accepted Answer

A) Wagering agreement 
B) Contingent contract 
C) Quasi contract 
D) Uncertain agreement 
A) Wagering agreement 
B) Contingent contract 
C) Quasi contract 
D) Uncertain agreement

Question 11

A agrees to sell his car to B at a price which B may be able to pay. This agreement is

Accepted Answer

A) Void 
B) Valid 
C) Voidable 
D) Contingent 
A) Void 
B) Valid 
C) Voidable 
D) Contingent

Question 12

An agreement to do an illegal act(eg: sharing the earnings of smuggling business) is

Accepted Answer

A) Valid 
B) Void 
C) Voidable 
D) Contingent 
A) Valid 
B) Void 
C) Voidable 
D) Contingent

Question 13

A, B and C jointly promised to pay Rs.60000 to D. A was compelled by D to pay the entire amount of Rs.60000. Here

Accepted Answer

A) A can file a suit against D for recovery of the amount exceeding his share 
B) A is entitled to recover Rs.20000 each from B and C 
C) On payment by A, the contract is discharged and B and C are also not liable to A. 
D) D is not justified here and is liable to refund the entire amount to A 
A) A can file a suit against D for recovery of the amount exceeding his share 
B) A is entitled to recover Rs.20000 each from B and C 
C) On payment by A, the contract is discharged and B and C are also not liable to A. 
D) D is not justified here and is liable to refund the entire amount to A

Question 14

Standing offer means

Accepted Answer

A) Offer allowed to remain open for acceptance over a period of times 
B) Offer made to the public in general 
C) When the offeree offers to qualified acceptance of the offer 
D) Offer made to a definite person 
A) Offer allowed to remain open for acceptance over a period of times 
B) Offer made to the public in general 
C) When the offeree offers to qualified acceptance of the offer 
D) Offer made to a definite person

Question 15

An agreement, which prevents a person from carrying lawful business is

Accepted Answer

A) Valid 
B) Void 
C) Voidable 
D) Contingent 
A) Valid 
B) Void 
C) Voidable 
D) Contingent

Question 16

Where an agreement consists of two parts once legal and the other illegal and the legal part is separable from the illegal one, such legal part is

Accepted Answer

A) Void 
B) Valid 
C) Voidable 
D) Illegal 
A) Void 
B) Valid 
C) Voidable 
D) Illegal

Question 17

Which of the following statements is correct?

Accepted Answer

A) Ordinary damages are recoverable 
B) Special damage is recoverable only if the parties knew about them 
C) Remote or indirect damages are not recoverable 
D) All of these 
A) Ordinary damages are recoverable 
B) Special damage is recoverable only if the parties knew about them 
C) Remote or indirect damages are not recoverable 
D) All of these

Question 18

A and B both believe that a particular kind of rice is being sold in the market@Rs.3000 per quintel and A sells rice of that kind to B @3000/quintel. But in fact, the market price was Rs.4000, the contract is

Accepted Answer

A) Valid 
B) Void 
C) Voidable 
D) Illegal 
A) Valid 
B) Void 
C) Voidable 
D) Illegal

Question 19

When offer is made to a definite person, it is known as

Accepted Answer

A) General offer 
B) Cross offer 
C) Counter offer 
D) Special offer 
A) General offer 
B) Cross offer 
C) Counter offer 
D) Special offer

Question 20

A party entitled to rescind contract, losses the remedy where

Accepted Answer

A) He has ratified the contract 
B) Third party has acquired right in good faith 
C) Contract is not separable and recession is sought of a party only 
D) All of these 
A) He has ratified the contract 
B) Third party has acquired right in good faith 
C) Contract is not separable and recession is sought of a party only 
D) All of these

A contingent contract dependent on the non happening of specified uncertain event within fixed time can be enforced if the event

In commercial transactions, time is considered to be of the essence of contract, and if the party fails to perform the contract within specified time, the contract becomes

An agreement in restraint of legal proceedings is void. It does not cover an agreement which

The basis of 'quasi contractual relations' is the

What is legal terminology for the doing or not doing of something which the promisor desires to be done or not done?

A agrees to pay Rs.1000 to B if a certain ship returns within a year. However, the ship sinks within the year. In this case, the contract becomes

Where the performance of a promise by one party depends on the prior performance of promise by the other party, such reciprocal promises fall under category of

Sometimes, a person finds certain goods belonging to some persons. In such case, the finder

When after the formation of a valid contract, an event happens which makes the performance of contract impossible then the contract becomes

An agreement to pay money money's worth on the happening or non happening of a specified uncertain event is a

A agrees to sell his car to B at a price which B may be able to pay. This agreement is

An agreement to do an illegal act(eg: sharing the earnings of smuggling business) is

A, B and C jointly promised to pay Rs.60000 to D. A was compelled by D to pay the entire amount of Rs.60000. Here

Standing offer means

An agreement, which prevents a person from carrying lawful business is

Where an agreement consists of two parts once legal and the other illegal and the legal part is separable from the illegal one, such legal part is

Which of the following statements is correct?

A and B both believe that a particular kind of rice is being sold in the market@Rs.3000 per quintel and A sells rice of that kind to B @3000/quintel. But in fact, the market price was Rs.4000, the contract is

When offer is made to a definite person, it is known as

A party entitled to rescind contract, losses the remedy where

Contract Law in India: Exploring Agreements, Offers, and Consideration

Contract Law: Understanding Legal Agreements and Their Discharge, Breach, and Enforcement

Contract Law and Consideration: Understanding Free Consent and Unlawful Agreements

Contract Law and Sale of Goods

Corporate Law

Cheques and Banking Procedures

Filters

Exam 4: Indian Contract Act

A contingent contract dependent on the non happening of specified uncertain event within fixed time can be enforced if the event

In commercial transactions, time is considered to be of the essence of contract, and if the party fails to perform the contract within specified time, the contract becomes

An agreement in restraint of legal proceedings is void. It does not cover an agreement which

The basis of 'quasi contractual relations' is the

What is legal terminology for the doing or not doing of something which the promisor desires to be done or not done?

A agrees to pay Rs.1000 to B if a certain ship returns within a year. However, the ship sinks within the year. In this case, the contract becomes

Where the performance of a promise by one party depends on the prior performance of promise by the other party, such reciprocal promises fall under category of

Sometimes, a person finds certain goods belonging to some persons. In such case, the finder

When after the formation of a valid contract, an event happens which makes the performance of contract impossible then the contract becomes

An agreement to pay money money's worth on the happening or non happening of a specified uncertain event is a

A agrees to sell his car to B at a price which B may be able to pay. This agreement is

An agreement to do an illegal act(eg: sharing the earnings of smuggling business) is

A, B and C jointly promised to pay Rs.60000 to D. A was compelled by D to pay the entire amount of Rs.60000. Here

Standing offer means

An agreement, which prevents a person from carrying lawful business is

Where an agreement consists of two parts once legal and the other illegal and the legal part is separable from the illegal one, such legal part is

Which of the following statements is correct?

A and B both believe that a particular kind of rice is being sold in the market@Rs.3000 per quintel and A sells rice of that kind to B @3000/quintel. But in fact, the market price was Rs.4000, the contract is

When offer is made to a definite person, it is known as

A party entitled to rescind contract, losses the remedy where

Contract Law in India: Exploring Agreements, Offers, and Consideration

Contract Law: Understanding Legal Agreements and Their Discharge, Breach, and Enforcement

Contract Law and Consideration: Understanding Free Consent and Unlawful Agreements

Contract Law and Sale of Goods

Corporate Law

Cheques and Banking Procedures

Filters