CBSE Questions for Class 12 Commerce Legal Studies Topics Of Law Quiz 6 - MCQExams.com

A. A minor is a person who is below the age of eighteen. However, where a guardian administers the minor's property the age of majority is twenty one.
B. A minor is not permitted by law to enter into a contract. Hence, where a minor enters into a contract with a major person, the contract is not enforceable. This effectively means that neither the minor nor the other party can make any claim on the basis of the contract.
C. In a contract with a minor, if the other party hands over any money or confers any other benefit on the minor, the same shall not be recoverable from the minor unless the other party was deceived by the minor to hand over money or any other benefit. The other party will have to show that the minor misrepresented her age, he was ignorant about the age of the minor and that he handed over the benefit on the basis of such representation.
Facts
Ajay convinces Bandita, a girl aged $$18$$ that she would sell her land to him. Bandita's mother Chaaru is her guardian. Nonetheless Bandita, without the permission of Chaaru, sells the land to Ajay for a total sum of rupees fifty lakh, paid in full and final settlement of the price. Chaaru challenges this transaction claiming the Bandita is a minor and hence the possession of the land shall not be given to Ajay. Thus Ajay is in a difficult situation and has no idea how to recover his money from Bandita.
Which of the following is correct?
  • Ajay should be allowed to recover the money because even though there is no contract, Bandita and Chaaru should not be allowed to unjustly benefit from Ajay's money
  • Ajay should be allowed the possession of the land because Chaaru can always decide to approve the transaction between Ajay and Bandita
  • Ajay should not be allowed to recover because he induced Bandita, a minor, to sell the land
  • None of the above
DIRECTIONS: (Qs. 92-97)Given below/ a statement of principle followed by a failual situation. Apply the principle to the faile given below and dselect the most appropriate answer
Principle Under the Transfer of Property Act, 1882 a property must be transferred , by one living person to another living person. The Act deals only with transfer of property between living persons.
Facts 'X' wants to transfer his property to the presiding deity in a temple situated within the estate of 'A'.
  • Transfer of property by 'X' will be valid
  • Transfer of property by 'X' will be invalid
  • Transfer of property by to the presiding deity will become a valid transfer to 'A'
  • None of the above.
Law of Contract deals with __________________.
  • law of ownership and transfer
  • property of actions
  • enforcement of obligations arising from agreements and promises
  • taxation
When a person aids the commission of an offence, he is called a __________.
  • abettor
  • accessory
  • accomplice
  • abeyer
DIRECTIONS (71-80): This section consists of fifty(50)questions. Each question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts These principles have to be applied to the given facts to arrive at the most reasonable conclusion Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true for the purposes of this section In other words, in answering the following questions, you must not rely on any principles except the principles that are given here in below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your interest towards study of law, research aptitude and problem solving ability even if the "most reasonable conclusion" arrived at may be unacceptable for any other reason. It is not the objective of this section to test your knowledge of law.
Principle: An interest which is created on a transfer of property and depends upon the fulfillment of a condition will fail if the fulfillment of the condition is impossible or is forbidden by law or is of such a nature that, if permitted, it would defeat the provisions of any law or is fraudulent or involves or implies injury to the person or property of another or the court regards it as immoral or opposed to public policy.
Facts: A gives Rs. 10,00,000/- to B on condition that B shall marry A's daughter C. On the date on which A gave Rs. 10,00,000/- to B, C was dead.
  • B's interest in Rs. 10,00,000/- fails because of impossibility
  • B's interest in Rs. 10,00,00/- fails because of immorality
  • B's interest in Rs. 10,00,000/. fails because of prohibition by law
  • B's interest in Rs. 10,00,000/- does not fail
Mens rea is translated as ___________.
  • guilty mind
  • intention
  • evil
  • unlawful act
LEGAL PRINCIPLES:
$$1.$$ Once a person accepts another's offer, and signifies such acceptance to the former, a contract comes into existence between them.
$$2.$$ Uncertain agreements are void agreements.
$$3.$$ Rejected offers can be accepted only if renewed.
FACTUAL SITUATION: Bakshi wanted to purchase a particular land. He sent a letter to his cousin. Dutt, offering him $$Rs. 4$$ lakhs for it. Dutt replied that he would not sell it below $$5$$ lakhs. Bakshi communicated his willingness to pay this amount. Dutt did not sell the land to Bakshi. Bakshi sued him for breach for contract.
DECISION
  • Dutt is liable because once he communicates an offer to Bakshi and Bakshi accepts it, a contract comes into existence
  • Dutt is liable as he has misled Bakshi by his actions
  • Dutt is not liable because he has rejected the offer by giving a counter offer which is also not specific
  • Dutt is not liable as there is no legally enforceable contract
This problem consists of a set of rules and facts. Apply the specified rules to the set of facts and answer the questions.
(Questions 66-69):
Rules:
A. When land is sold, all 'fixtures' on the land are also deemed to have been sold.
B. If a moveable thing is attached to the land or any building on the land, then it becomes a 'fixture'.
Facts:
Khaleeda wants to sell a plot of land she owns in Begbmara, Meghalaya and the sale value decided for the plot includes the fully-furnished palatial six-bedroom house that she has built on it five years ago. She sells it to Gurpreet for sixty lakh rupees. After completing the sale, she removes the expensive Iranian carpet which used to cover the entire wooden floor of one of the bedrooms. The room had very little light and Khaleeda used this light-coloured radiant carpet to negate some of the darkness in the room. Gurpreet, after moving in, realizes this and files a case to recover the carpet from Khaleeda.
Amongst the following options, the most relevant consideration while deciding a case on the basis of the above two principles would be _______________.
  • Whether the moveable thing was included in the sale

    agreement.
  • Whether the moveable thing was merely placed on

    the land or building.
  • Whether the moveable thing had become an

    inseparable part of the land or building.
  • Whether the moveable thing could be removed.
The EJA is abbreviated form of ____________________.
  • Environment Impact Assessment
  • Environment Implementation Arrangement
  • Environment Impact Apparatus
  • Environment Institute of Awareness
DIRECTIONS (71-80): This section consists of fifty(50)questions. Each question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts These principles have to be applied to the given facts to arrive at the most reasonable conclusion Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true for the purposes of this section In other words, in answering the following questions, you must not rely on any principles except the principles that are given here in below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your interest towards study of law, research aptitude and problem solving ability even if the "most reasonable conclusion" arrived at may be unacceptable for any other reason. It is not the objective of this section to test your knowledge of law.
Principle: If a person transfers movable or immovable property with its full ownership and without any consideration to some other person, then it is called a gift.
Facts: S, who has no child of his own, makes a gift of his house worth Rs. 25 lacsto his nephewR. After completing all the legal formalities required fora valid gift, S says to R that in case of need R will provide that house to S for use without any questions. R does not react to it. After one year of this S really needs that house and request R to make the house available to him, but R refuses to do so.
  • R cannot refuse as he got the house without paying any consideration for that
  • R cannot refuse as S is without children
  • R can refuse as he has become full owner of the house
  • R can refuse as he himself may be in need of that house
_______ is a wrongful act or infringement of right.
  • Tort
  • Crime
  • Wrong
  • None of the above
P offers to sell his car to Q for Rs. 50,000/- Q agrees to buy the car offering Rs.45,000/- the reply of Q amounts to ________.
  • Offer
  • Counter offer
  • Invitation to an offer
  • Standing offer
The phrase 'due process of law' means ______.
  • as ordained by statute law
  • in course of time
  • in course through courts
  • judice by tribunals

Principle: In order to be eligible to appear in the semester examination, a student is required to attend, under all circumstances, atleast $$70$$% of the total classes held in that semester as per University rules.

Facts: Anand, an economically poor but a very brilliant student of LLB final semester, while going to his University by cycle received some leg injuries in road accident. Consequently Anand could not attend his classes for one week as he was advised rest by his doctor for that period. Due to this absence from the university, Anand failed to have $$70$$% attendance essential to appear in the examination and, therefore, he was debarred from appearing in the examination by the University authorities. Anand challenges this decision in the court of law.

Decide
  • Anand will succeed in the court of law as the accident was beyond his control.
  • Anand will definitely get favour of the court on humanitarian ground as he comes from a economically poor family and may not afford to take readmission.
  • Anand will not succeed as he could very easily fulfil eligibility criteria for appearing in the examination by being reasonably regular in the class throughout the semester.
  • Anand will succeed as requirement of $$70$$% attendance may be declared arbitrary and, therefore, unreasonable by the court of law.
According to Mc Naughten rules, legal insanity is quite different from medical insanity. It is relates to the ___________.
  • total loss of co-native faculties
  • total loss of cognitive faculties
  • congenital insanity
  • none of these
'Damages' are awarded except in one case ____________.
  • Tort
  • Breach of contract
  • Libel suit
  • Criminal conduct
The model code of conduct for political parties and candidates to be followed during the election is___________________.
  • laid down in the Constitution of India
  • specified in the Representation of the People's Act, $$1951$$
  • enjoined by the Supreme Court
  • a voluntary agreement among the recognised political parties
All agreements are not contracts but all _______ are agreements
  • Offer
  • Acceptance
  • Obligation
  • Contracts

Principle: Generally an agreement without consideration is not valid. Therefore, in order to make a valid agreement, some consideration which may have some value in the eyes of law, is essentially required.

Facts: William has an older car of which he makes seldom use. He voluntarily enters into an agreement with Smith to sell this car for rupees ten thousand. Thereafter one Anson approaches William and offers to buy that car for rupees one lakh as the car was one which Anson has been searching for long. Now, William wants to cancel his agreement with Smith and refuses to deliver the car to him saying that consideration price for the car promised by Smith is negligible and therefore, agreement with him cannot be said to be valid one.

Decide
  • William can cancel his agreement with Smith as the consideration involved in that is really inadequate
  • William cannot cancel his agreement with Smith as the sale of car for rupees ten thousand was voluntary and this price has some value in the eyes of law
  • William can cancel his agreement with Smith as he was ignorant about the value/ price of the car for which it could be sold
  • William can cancel his agreement with Smith as he is entitled to get full market value/ price of his car
Unliquidated damage means _________.
  • damage to something mean
  • damage caused by a firm which has gone in liquidation
  • damage to firm in the hands of receivers
  • damage to be assessed by a Court as these are not pre-determined
Principle Master is liable for the wrongful acts committed by his servant; provided the acts are committed during the course of employment. However, the master is not liable if the wrongful act committed by his servant has no connection, whatsoever, with the servant's contract of employment.
Facts 'D' is a driver employed by 'M' who is the owner of a company. During the lunch time, 'D' goes to close by tea shop to have a cup of tea. There he ('D') picks up fight with the tea shop owner ('T'), which resulted in some damage to his shop. 'T' wants to sue 'M' for claiming compensation for the damage caused by the fight.
Which of the following derivations is correct?
  • 'M' will be liable because 'D' is his servant
  • Both 'M' and 'D' will be liable
  • 'M' will not be liable because the wrongful act (picking up fight) was not committed in the course of D's employment
  • 'M' will be liable albeit the wrongful act (picking up fight) was not committed in the course of D's employment
Liability is _________.
  • subjection to legal obligation
  • a responsibility
  • a duty
  • none of the above
Given below are a legal principle and a factual situation. Apply the given legal principle to the factual situation and select the most appropriate answer to the question given below:

Principle: Every person has a right of self-defence,if his life is under imminent threat.

Facts: Mr. Prashant threatens Mr. Krishna that he will kill Mr. Krishna. After saying so, Mr. Prashant goes to his house saying that he would get his axe.
  • Mr. Krishna will have to run away
  • Mr. Krishna will have to go to the police station and file a complaint.
  • Mr. Krishna cannot exercise the right of self-defence.
  • None of the above.
Assertion (A) : All minorities, whether based on religion or language, shall have the right to establish or administer educational institutions of their choice.
Reason (R) :Institutions established by the minorities are not entitled to governmental aid and government is not under an obligation to give aid.
  • Both A and R are true and R is the correct explanation of A.
  • Both A and R are true and R is not the correct explanation of A.
  • A is true but R is false
  • A is false but R is true
This section consists of fifty $$(50)$$ questions. Each question consists of legal propositions/ principles (hereinafter referred to as 'principles') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion. Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true for the purposes of this section. In other words, in answering the following questions, you must not rely on any principles except the principles that are given here in below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your interest towards study of law, research aptitude and problem solving ability even if the "most reasonable conclusion" arrived at may be unacceptable for any other reason. It is not the objective of this section to test your knowledge of law.
Principle: A condition precedent must be complied with before the happening of the event to which such a condition is attached. Fulfilment of such a condition after the happening of the event is no fulfillment of condition.
Facts: A transfers $$Rs. 5,000$$ to B on condition that he shall marry with the consent of C, D and E. As C, D and E had to go abroad was already fixed, therefore, B marries without the consent of C, D and E, but obtains their consent after the marriage when C, D and E return to their country.
  • B has fulfilled the condition
  • B has not fulfillled the condition
  • B was free to marry any one without the consent of any body
  • B must divorce his wife as he married her without fulfilling the condition
The gist of the offence of criminal conspiracy is ____________.
  • an agreement is necessary between two or more persons to do or cause to be done an illegal act.
  • a legal act by illegal means followed by an overt act to be done or cause to be done according to an agreement.
  • both (a) and (b).
  • none of the above
Legal Principle: Law does not take notice of trifles.

Factual Situation: A proposes to his neighbour B that they both should go together for a morning walk. B agrees to the proposal and it was decided that both of them would meet at a particular point at 6 a.m. from where they would set off for the morning walk. In spite of the agreement, B did not turn up. A waits for seven days. Thereafter, he files a suit against B claiming damages for the agony and mental torture suffered by him.
Decide.
  • B is guilty of contract and is liable to pay damages.
  • There is no intention to enter into legal relations.
  • The matter is too small and the court will refuse to go into it.
  • None of the above.
The essential ingredients of a crime are _______________.
  • Knowledge, intention and action
  • Motive, intention and knowledge
  • Motive, mens rea and actus reus
  • Actus reus and mens rea
Agreements which are uncertain are _____.
  • Uncertain contracts
  • Valid
  • Void
  • Contingent
Principle There is no liability in tort in cases of inevitable accidents.
Factual Situation A stranger takes lift in truck. The truck later meets with an accident due to break failure. The stranger suffered grievous physical injuries and nervous shock. He filed a suit to claim compensation from the truck's owner.
Decision
  • Truck owner is liable
  • Truck owner is not liable because it is an inevitable accident and defect in truck was not apparent
  • Truck owner is liable not the owner
  • Neither the truck nor the owner is liable
"The people have a right, an inalienable, indisputable, indefeasible, divine right to that most dreaded and envied kind of knowledgeI mean, of the character and conduct of their rulers." Who said this ?
  • Abraham Lincoln
  • John Adams
  • Martin Luther
  • Mahatma Gandhi
This section consists of fifty $$(50)$$ questions. Each question consists of legal propositions/ principles (hereinafter referred to as 'principles') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion. Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true for the purposes of this section. In other words, in answering the following questions, you must not rely on any principles except the principles that are given here in below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your interest towards study of law, research aptitude and problem solving ability even if the "most reasonable conclusion" arrived at may be unacceptable for any other reason. It is not the objective of this section to test your knowledge of law.
Principle: When a person voluntarily agrees to suffer some harm, he is not allowed to complain for that.
Facts: 'A' was one of the spectators at a formula one car race, being held at Gurgaon, on a track owned by one 'M' company. During the race, there was a collision between two racing cars, one of which was thrown away amidst spectators, thereby causing an injury to 'A', 'A' claims damages for the injuries caused to him.
  • M company will be liable for damages because the injury was caused during the race organized by it
  • M company will not be liable for damages because A had come to see the race on his own will
  • M company will not be liable for damages because the collision between the cars was beyond its control
  • M company will be liable because it has earned huge revenue by way of sale of tickets for the event
Principle: When one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of that other to such act or irstinence, he is said to make a proposal. The expression of willingness/ desire results in a valid proposal only when it is made/ addressed to some person(s).
Facts: 'X' makes the following statement in an uninhabited hall. 'I wish to sell my mobile phone for $$Rs. 1000$$.'
Which of the following derivations is correct?
  • 'X' made a statement that resulted in a promise
  • 'X' made a statement that resulted in a proposal
  • 'X' made a statement that did not result in any proposal
  • 'X' made a statement that resulted in an agreement
LEGAL PRINCIPLE: The master/principal is liable for all acts done by his duly appointed servant/agent for all acts done by him lawfully in the course of his employment.
FACTUAL SITUATION : A,B, C and D carried on a business in partnership. While making a deal with another company, B bribed the clerk there. Is the partnership firm vicariously liable?
  • No, as bribing is not in course of employment of the partners.
  • Yes, as partners are agent of the firm.
  • Yes, as B can be said to have implied authority for the same.
  • No, as this act was not authorized by the others.
Principle : Law never enforces an impossible promise.
Facts : 'A' made a promise to 'B' to discover treasure by magic.
  • Law will not enforce the promise.
  • Law will enforce the promise only at the option of 'B'.
  • Law will enforce the promise.
  • Law will enforce the promise only at the option of 'A'.
Principle : Consent is a good defence for civil action in tort. But consent must include both knowledge of risk and assumption of risk, i.e, readiness to bear harm.
Facts : A lady passenger was aware that the driver of the cab, in which she opted to travel was little intoxicated. The cab met with an accident and lady got injured.
  • Lady can refuse to pay the fare as she had suffered injuries.
  • Lady is entitled to claim compensation as she only knew about risk and there was no assumption of risk.
  • Lady is entitled to claim compensation as she had knowledge of risk.
  • Driver can take the plea that he was lightly intoxicated.
Principles :
- A servant is one who is employed to do some work for his employer (master). He is engaged under a contract of service. He works directly under the control and directions of his master.
- In general, the master is vicariously liable for those torts (wrongful acts) of his servant which are done by the servant in the course of his employment.

Facts : 'M' appointed 'D' exclusively for the purpose of driving his tourist vehicle. 'M' also appointed 'C' exclusively for the purpose of performing the work of a conduct for the tourist vehicle. During one trip, at the end of the journey, when 'D' was not on the driver's seat,  'C' had apparently for the purpose of turning the vehicle in the right direction for the next journey, drove it through the street at high speed, and negligently injured 'P'.
  • 'M' could not be made liable for the act of 'C', as his (C's) act of driving the vehicle was not in the course of his employment.
  • 'M' could made liable for the act of 'C', as his (C's) act of driving the vehicle was within the scope of employment.
  • 'M' could be made liable for the act of 'C', as 'C' was employed under a contract of service.
  • 'M' is not liable as he was not present at the time of accident.
Is intention a mental condition?
  • Depends on the situation.
  • Yes
  • None of the above
  • No
A basic principle of the doctrine of precedent is that ________________.
  • a precedent, once made, can never be changed
  • decisions of a superior court in one hierarchy of courts are binding on courts inferior to it in another, separate hierarchy..
  • precedents are restricted to those decisions of superior courts that have been approved by Parliment.
  • every court is bound by the decision of courts superior to in the same hierarchy of courts.
Principle :
Wagering agreements are void.
Collateral agreements to wagering contracts are valid.
Facts : XYZ Bank lends Rs$$40,000$$ to Sabu in order to enable him to award as prize to Randeep who is the winner of horse race. Later Sabu refuses to pay the prize stating that horse racing is wagering agreement. Can XYZ Bank recover money from Sabu?
  • No, as it is a wagering contract.
  • Bank can recover money from Sabu so that payment of prize money can be made to Randeep.
  • Yes, as it is only a collateral agreement to horse racing and therefore the bank can recover the money from Sabu.
  • Horse racing is illegal and therefore XYZ Bank cannot recover anything from Sabu.
Principle : In cases where there is an infringement of legal right even without any actual loss or damage, the person whose right is infringed has a cause of action.
Facts : 'P' was wrongfully prevented by the Returning Officer from exercising his vote in an assembly election. However, the candidate for whom he wanted to caste his vote won the election. Still, he ('P') brought an action claiming damages. Which of the following derivations is correct?
  • 'P' would succeed in his action, as it is mandatory to cast vote.
  • 'P' would not succeed in his action, as the candidate for whom he wanted to give his vote won the election.
  • 'P' would not succeed in his action, as he did not suffer any loss in that election.
  • 'P' would succeed in his action, as he was wrongfully prevented from exercising his legal right of voting in that election.
LEGAL PRINCIPLE : A master shall be liable for the acts of his servants done in the course of employment.
FACTUAL SITUATION : PUL, a public sector undertaking, is operating a number of bus services for its employees in Pune. These buses are quite distinct in their appearance and carry the board "for PUL employees only". M, a villager from neighboring state, was waiting for a regular bus in one of the bus stops in Pune. A bus belonging to PUL happened to stop nearby and number of people got into the bus. M, without realizing that it was PUL bus, got into the bus and soon thereafter, the bus met with an accident due to driver's negligence. M, along with several others, was injured in the accident. M seeks to file a suit against PUL claiming damages.
DECISION :
  • M will succeed, because he got into the bus without realizing that it was PUL bus.
  • M will not succeed, because it was from him to find out whether it was a public transport.
  • M will succeed, because the driver was anyhow duty-bound to drive carefully.
  • PUL is not liable as the bus met with an accident due to driver's negligence.
Principle : An agreement without free consent can be enforced only at the option of the party whose consent was not free.
Facts : A obtains the consent of 'B' to enter into an agreement by putting a gun on the head of B's girl friend.
  • 'B' can enforce the agreement.
  • 'A' can enforce the agreement.
  • 'B' cannot enforce the agreement.
  • Neither 'A' nor 'B' can enforce the agreement.
Given below are a legal principle and a factual situation. Apply the given legal principle to the factual situation and select the most appropriate answer to the question given below:

Principle: Ignorance of law is no excuse.

Factual situation: A fails to file his income tax returns for 10 years. The Income tax department issues to him notice to show cause why proceedings should not be initiated against him for the recovery of the income tax due from him with interest and penalty. What remedy does he have?
  • He may take the plea that his advocate had advised him not to file the return as his income was not taxable.
  • He may request the department to waive the interest and penalty.
  • A must pay the tax due as ignorance of law cannot be a ground of defence.
  • None of the above.
Principle : When a person consented to an act to be done by another, he cannot claim any damages resulting from doing that act, provided the act done is the same for which consent is given.
Facts : 'P' submitted a written consent to a surgeon 'S' for undergoing a surgical operation for removal of appendicitis. The surgeon while doing surgery also removed the gall bladder of 'A':
  • 'P' can claim damages from 'S'.
  • 'P' is not bound to pay expenses of the surgery.
  • 'P' is required to pay expenses for surgery for Appendicitis but not for Gall Bladder.
  • 'P' cannot claim damages from 'S'.
Study the following information and answer the question that follows:
Principle: A 'fixture' is something attached to land or a building in such a way that it is regarded as an irremovable part of the property you are considering buying. Some typical 'fixture' in a home included the hot water service, range top, wall oven, fixed floor coverings, light fittings and a bulitrin (under bench) dishwasher. Garden plants, including bushes and trees are also 'fixtures'.
Rule A. When land is sold, all 'fixtures' on the land are also deemed to have been sold.
Rule B. If a movable thing is attached to the land or any building on the land, than it becomes a 'fixture'.
Factual Situation Khaleeda wants to sell a plot of land she owns in Beghmara (Meghalaya) and the sale value decided for the plot includes the fully-furnished palatial six-bedroom house that she has built on it five years ago. She sells it to Gurpreet for $$Rs. 60$$ lakh. After completing the sale, she removes the expensive Iranian carpet which used to cover entire wooden floor of one of the bedrooms. The room had very little light and Khaleeda used this light-coloured radiant carpet to negate some of the darkness in the room. Gurpreet, after moving in, realises this and files a case to recover the carpet from Khaleeda.
Assume that in the above fact scenario, Khaleeda no longer wants the carpet. She removes the elaborately carved door to the house after the sale has been concluded and claims that Gurpreet has no claim to the door. The door is question was part of Khaleeda's ancestral home in Nagercoil (Tamil Nadu) for more than $$150$$ years before she had it fitted as the entrance to her Beghmara house.
As a judge you would decide in favour of
  • Gurpreet because when the price was agreed upon, Khaleeda did not inform her about removing the carpet
  • Gurpreet because the carpet was integral to the floor of the bedroom and therefor, attached to the building that was sold
  • Khaleeda because a fully-furnished house does not entail the buyer to everything in the house
  • Khaleeda because by virtue of being a carpet, it was never permanently fixed to the floor of the building
X went to Y's house and forget his bag which contained 1 kg sweets. Y's children consumed the sweets. Decide the liability of Y.  
  • Y is bound to pay the price of sweets.
  • Y is not bound to pay anything.
  • Y is bound to pay half the price of sweets.
  • Y would not have to pay anything because X loves Y's children.
Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts given below and select the most appropriate answer.
Legal Principle: Contract is an agreement freely entered into between the parties. But when consent to an agreement is obtained to undue influence, the contract is voidable at the option of the party whose consent was so obtained.
Factual Situation: The pragya had been worked for a business man Anurag since the age of $$18$$, working for a range of Anurag's businesses. In $$2000$$, (aged $$21$$) Pragya purchased a flat. In $$2005$$, Mr. Anurag's business was facing financial difficulties, and he asked Pragya to offe up her flat as financial security against an overdraft facility for the business. In July of that year, the banks solicitors wrote to Pragya, advising that she should take Independent legal advice before putting her property up as a security for the debt. The bank also notified Pragya that the guarantee was unlimited in both time and financial amount. Having discussed the arrangement with Anurag, Pragya was unaware of the extent of the borrowing, but was assured that her mortgage would not be called upon, and that his own properties which were also used as security would be looked at first. A charge was executed over the Pragya's property in August $$2005$$. In $$2009$$, Mr.s Anurag's business went into liquidation and the bank formally demanded $$Rs. 60,24,912$$ from Pragya. Pragya raised the defence of undue influence - stating that Mr. Anurag had induced her to enter into the agreement, and the bank had full knowledge/ notice of this undue influence which should set aside the banks right to enforce the debt recovery against Pragya. Bank is contending that there is no undue influence.
Legal Principle: The acceptance must be absolute and unqualified, leaving no ground for doubt or uncertainty. If the acceptance is conditional, no valid contract is formed, and the offer can be withdrawn at any moment till the absolute acceptance has taken place within reasonable time of such offer.
Factual Situation: Delhi Government conducted an auction for the sale of license of wine shop. X offered the highest bid which was provisionally accepted "... subject to the confirmation of Chief Commissioner who may reject any bid without assigning any reasons." Since X failed to deposit the required amount, Chief Commissioner rejected the bid. The government held X liable for the difference between the bid offered by him and the highest bid accepted in reauction, and commenced proceedings for the recovery of the sum. It was contended on behalf of the government of Delhi that X was under a legal obligation to pay the difference as it was due to his default that a resale of the excise shop was ordered and hence X was liable for the deficiency in price and all expenses of such resale which was caused by his default.
Decide, giving reason, whether X is liable to make payment to the Delhi Government.
  • No, X is not liable to make payment as the shop was sold to the highest bidder
  • X is liable to pay because the Government of Delhi has to conduct re-auction and also suffered loss in the sale of the shop
  • X is liable because his bid was accepted but he failed to deposit the required amount on time
  • No, contract for sale was not complete till the bid was confirmed by the Chief Commissioner and till such confirmation: the bidder was entitled to withdraw the bid
Match List I with List II.
List IList II
A. Extradition$$1$$. Red handed
B. Fiduciary$$2$$. Based on faith
C. Flagrante delicto$$3$$. To extradite a criminal
  • A-$$3$$, B-$$2$$, C-$$1$$
  • A-$$2$$, B-$$1$$, C-$$3$$
  • A-$$3$$, B-$$1$$, C-$$2$$
  • A-$$1 $$, B-$$3$$, C-$$2$$
A. Mala fide                   Fraudulent or dishonest act
B. Mens rea                   Hostile attitude
C.Malice                         Guilty mind
  • A-1, B-3, C-2
  • A-3, B-2, C-1
  • A-2, B-1, C-3
  • None of these
0:0:1


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Practice Class 12 Commerce Legal Studies Quiz Questions and Answers