Welcome to Scribd. Sign in or start your free trial to enjoy unlimited e-books, audiobooks & documents.Find out more
Download
Standard view
Full view
of .
Look up keyword
Like this
11Activity
0 of .
Results for:
No results containing your search query
P. 1
SEM-1 > Business Law2

SEM-1 > Business Law2

Ratings:

4.5

(1)
|Views: 203|Likes:
Published by api-3704742

More info:

Published by: api-3704742 on Oct 18, 2008
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as DOC, PDF, TXT or read online from Scribd
See more
See less

08/04/2014

pdf

text

original

Table of Contents

Q. 1) Define a contract and explain in detail the essential elements of a valid
contract?.................................................................................................................. 2
Q. 2) Discuss the Circumstances under which a contract is said to be free?..... 7
Q.3) What do you mean by discharge of a contract? What are the various
ways in which a contract may be discharged?................................................... 13
Q. 4) Classify and explain different types of agents?......................................... 15
Q. 5) Explain the rights, duties and responsibilities of an agent to his
principal?............................................................................................................... 19
Q. 6) Explain the mutual rights of partner\u2019s in a partnership firm?............... 23
Q. 9) Define the term \u2018Negotiable Instrument\u2019 and explain it\u2019s types and
various parties of the types of negotiable instruments?.................................... 24
Q. 10) Explain the objects of the Consumer Protection Act and state and
explain the following terms used in the Consumer Protection ACT, 1986:(a) A
consumer, (b) A Dispute, (c) Deficiency and (d) Restrictive Trade Practices
and Unfair Trade Practices?................................................................................ 28
Q. 11) how is a company formed under the companies Act of 1956? What are
the documents to be filled with the Registrar of the Companies?.................... 32
Q. 12) Explain rights, duties and disqualifications of directors of a company?

.................................................................................................................................34
32D. No right to compensation for termination of contract of Managing
Agent, Managing Director, etc............................................................................. 36

Business Law (Semester I, 2003 Batch)
Page 1 of 38
Business Law
Q. 1) Define a contract and explain in detail the essential elements of
a valid contract?
Ans. 1) Introduction: Indian Contract Act, 1872, defines the term contract.
In this Act the following words and expressions are used in the following
senses, unless contrary intention appears from the context:

(a) 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 abstinence, he is said to make a proposal;

(b) When a person to whom the proposal is made, signifies his assent thereto, the proposal is said to be accepted. A proposal, when a accepted, becomes a promise;

(c) The person making the proposal is called the "promisor", and the
person accepting the proposal is called "promisee",

(d) When, at the desire of the promisor, the promisee or any other
person has done or abstained from doing, or does or abstains from
doing, or promises to do or to abstain from doing, something, such
act or abstinence or promise is called a consideration for the
promise;

(e) Every promise and every set of promises, forming the
consideration for each other, is an agreement;
(f) Promises which form the consideration or part of the

consideration for each other, are called reciprocal promises;
(g) An agreement not enforceable by law is said to be void;
(h) An agreement enforceable by law is a contract;
(i) An agreement which is enforceable by law at the option of one or

more of the parties thereto, but not at the option of the other or
others, is a voidable contract;
(j) A contract which ceases to be enforceable by law becomes void
when it ceases to be enforceable.
Business Law (Semester I, 2003 Batch)
Page 2 of 38
P.T.O.
As per the above discussion, essential requirements of a contract could be
listed as:

\ue000Two Parties
\ue000An Agreement
\ue000Legal obligation

Please note as per Indian contract act: All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void. Nothing herein contained shall affect any law in force in India, and not hereby expressly repealed, by which any contract is required to be made in writing or in the presence of witnesses, or any law relating to the registration of documents.

Essential Elements of Valid Contract:
\u25caThere must be an agreement: All agreements are contracts if

they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void. Nothing herein contained shall affect any law in force in India, and not hereby expressly repealed, by which any contract is required to be made in writing or in the presence of witnesses, or any law relating to the registration of documents.

\u25caParties to a contract must be competent: Every person is

competent to contract who is of the age of majority according to the law to which he is subject, and who is sound mind and is not disqualified from contracting by any law to which he is subject. A person is said to be of sound mind for the propose of making a contract, if, at the time when he makes it, he is capable of understanding it and of forming a rational judgment as to its effect upon his interest. A person, who is usually of unsound mind, but occasionally of sound mind, may make a contract when he is of sound mind. A person, who is usually of sound mind, but occasionally of unsound mind, may not make a contract when he is of unsound mind.

Business Law (Semester I, 2003 Batch)
Page 3 of 38

Activity (11)

You've already reviewed this. Edit your review.
1 thousand reads
1 hundred reads
Abey Francis liked this
Vishal Pansari liked this
mitesh24chheda liked this
bongi liked this
03462518623 liked this
jeet liked this
jeet liked this

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->