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Application Exercise

Application Exercise BLaw Assignment #2 Time : 15 Min. Q. 1. In the fo lowing questions choose the most appropriate answer. . 1. One cannot plead doctrine of frustration for ones own inaction a. True b. False c. Partly true d. Partly false Max. Marks- 15

2. A contracts to take in cargo for B at a foreign port. Later, As government declares war against the country in which the port is situated. The contracta. Is void ab initio b. Bocomes void c. Is valid d. Is voidable at Bs option 3. Where time is the essence of the contract, and the promisor fails to do the agreed things on or before specified time, the contract isa. contingent b. i legal c. voidable at the option of the promisor d. voidable at the option of the promisee 4. A promisor can perform the promise a. himself b. through his authorized representative competent to perform c. through unauthorized agent d. either a or b 5. Quasi contracts are exceptions situations whereina. one party is bound to pay money in consideration of something done or suffered by the other party b. no contractual relation exists between the parties c. No agreement has been entered into by the parties d. A l the above 6. An agreement contingent on happening of an impossible

event- a) is valid b) is voidable


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c) is i legal d) becomes void when impossibility is discovered 7. In case of novation, a. old contract need not be performed b. new contract must be performed c. both a and b d. either a or b 8. A person to whom money is paid by mistake or under coercion, a. May use it for his advantage b. Must repay it c. Need not repay d. None of the above 9. A agrees to pay B Rs. 1,000 if two straight lines enclose a space. The agreement is- a. valid b. void c. i legal d. voidable 10. Where a promisor has offered to perform his promise and the promise refuses to accept the performancea. the promisor is not responsible for non-performance b. the promisor does not lose his rights under the contract c. either a or b d. both a and b 11. Frustration of contract occurs when there is a. commercial impossibility b. supervening impossibility c. both a and b d. either a or b 12. Performance of a contingent contract is dependent on the a. happening of the co lateral event b. non-happening of the co lateral event c. either (a) or (b) d. neither (a) nor (b) 13. A makes a contract with B to se l a horse to B at a specified price, if C, to whom the horse had been earlier offered, refuses to buy. This contract cannot be enforced by lawa. at a l

b.

and until C refuses to buy the horse


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c. unless and until B refuses to buy the horse d. unless and until A refuses to se l the horse 14. A moneylender promises to give a loan of Rs. 1 lakh to a borrower if he so chooses. This is a contingent contract a. True b. Partly true c. False d. None of the above 14. Anup Jalota make a contract with Zee TV to sing two nights every week for next two months at a consideration of Rs. 1 lakh for each performance. On sixth night Mr. Jalota wi lfu ly absents himself but turns up on the seventh night at the appointed time and he is a lowed to perform that nighta) b) c) d) The contract is voidable at the option of Zee TV The contract becomes void Zee TV can put an end to the contract Zee cannot put an end to the contract but can claim damages from Anup Jalota for his absence on sixth night

16. A agreed to supply certain goods at a specified price to B. As a result of an increase in raw material prices and labour costs, it is no longer profitable for A to supply them at the agreed price. In this casea. Contract becomes void b. A cannot be excused for nonperformance c. Contract gets frustrated d. Contract is voidable at the option of A 17. A quasi contract a. is an agreement b. is a contract c. has only a legal obligation d. is not any of the above 18. Quasi contracts are based on the principle of a. self service b. service to others c. there cannot be unjust enrichment of a party at the cost of other d. justice to a l 19. The rule of law is that when money is paid, it is to be applied first as per the expressed wi l of a. payer b. payee

c. both a and b d. banker


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20. A contract can be discharged by a. Performance b. Frustration c. Novation d. Any of the above

21. A l contingent contracts are in the nature of wagering agreement- a. true b. false c. and hence, are void d. none of the above 21. If a new contract is substituted in place of an existing contract, it is ca led a. alteration b. novation c. waiver d. recession 22. A saves Bs property from fire. A is entitled to compensation from B, if the circumstances show that A intended to act a. gratuitously b. nongratuitously c. either a or b d. neither a nor b 24. An offer of performance is known as a. offer b. tender c. proposal d. acceptance 25. Anticipatory breach of contract applies where a contract involves a. A stray transaction b. Series of performances c. i legal transactions d. a wager 26. Tender of performance is valid if it is of a. proper quality and quantity

b. At proper time and place c. Is unconditional d. A l the above 27. Certain relations resembling those of a contract are ca led a. Implied contracts
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b. Quasi contracts c. Deemed contracts d. Unforeseen contracts 28. A who supplies the wife and children of B with necessaries suited to his condition in life is entitled to be reimbursed from a) B persona ly b) Bs property c) Bs wife and children d) the court 29. A finder of lost goods is a a. b. c. d. bailee bailor True owner Thief

30. Doctrine of frustration is applicable when the supervening impossibility creeps in subsequent to the making of contract but before the time of actual performancea. b. c. d. true false partly true a l the above

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