1.1 State whether any contract is made in the following cases:
(a) when you invite B to your home for dinner and B accepts your invitation.
(b) When you board a public bus
(c) When you call a taxi on the telephone.
(a) When you put a ten-paise coin in the slot of a weighing machine.
(e) When you eat a meal at a restaurant.[Ans.: (a) No (b), (c), (d), (e) Yes]
X invites Y to dinner, Y accepts the invitation but fails to turn up. Can X
sue ¥ for the damage?
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[Ans.: No, because the agreement between Vand Yis not enforceable by
law. It is a social agreement and the usual presumption in such agreement
is that the parties do not intend to create legal relationship. ]
1.3 X makes a promise to his wife Y to give her pocket money of Rs 1,000 per
month. After 6 months, he stops making the payment. Can Y claim
damages from V.
[Ans.: No, because the agreement between X and Y is not enforceable by
law. It is a domestic agreement and the usual presumption in such agreement
is that the parties do not intend to create legal relationship.]
[Leading case: Balfour v. Balfour]
1.4 X polished Y's shoes without being asked by ¥ to do so. ¥ does not make
any attempt to stop X from polishing the shoes. Is Y bound to make
payment to X?
[Ans.: Yes. because he has accepted .\’s implied offer by conduct (i.e., by
not stopping .V from polishing the shoes).]1
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X advertises in a newspaper that he would pay Rs 1,00,000 to anyone who
traces his missing son. ¥ traced that boy and claimed the amount of
reward, State whether Y is entitled to receive the amount of reward if (a)
he did not know about the reward. (b) if he knew about the reward?
{Ans.: (a) No, because there can be no valid acceptance without the
knowledge of the offer.] [Leading case: Lalman Shukla v.Gauri Dutt)
[Ans.: (b) Yes, because }’ has accepted the general offer by tracing the
missing son.] [Leading case: Har Bhajan Lal v. Harcharan Lal}
Mr. X promises to pay Rs 1,000 per month to Mrs. X but fails to pay the
promised amount. Mrs ¥ filed a suit against her husband for breach of this
agreement. Will she succeed?
[Ans.; No, because it was a domestic agreement and the parties never
intended to create any legal relation.] [Leading case: Balfour v. Balfour]
X Ltd., was appointed as an agent by ¥ Ltd., by an agreement. One of the
clauses of the agreement provided. “This agreement is not entered into as
a formal or legal agreement and shall not be subject to legal jurisdiction in
the law courts.” Is this agreement a valid contract?
[Ans.: No, because there was no intention to create relations.]2.20
offer will remain open till 3 PM, Jan 9, On 6th Jan., A sold the horse to C,
B sent his acceptance to 4 before 3 PM on 9th Jan. Has B any right against
A? Give reasons. [Ans.: No]
‘A man lost his son. He sent his manager to search for the boy. When he
did not hear anything about the whereabouts of the boy, he declared 2
reward of Rs 5,000 to the finder. The manager traced the missing boy.
Can he claim the reward? Give reasons in support of your answer.
[Ans.: No]
A proposes by a letter sent by post to sell his house to B, # accepts the
proposal by a letter sent by post. State the legal position regarding revoca-
tion of offer and acceptance by 4 and B respectively.
‘A advertised to sell his car. B reached 4°s house and agreed to pay the
price demanded, When B took out the cheque book, A refused to sell the
car. But B persuaded A that he (B) was a leading businessman and gave at
address and a telephone number which the seller A verified in the
Telephone Directory and allowed B to take the car against the cheque. /
pledged the ear with C and the cheque returned dishonoured being a bo
gus one. Can recover the car from C? Give full reasons for your answer
[Ans.: Yes, no contract, Ingram v. Little]
Ramesh offered his cottage to Jagdish for a cash price of Rs 50,000. Jagdis!
accepted the offer, sent Rs 20,000 by cheque and a promissory note fo
the balance payable after three months. Is the contract concluded
[Ans.: Yes