QUESTION BANK
MODULE 1
Very short Answers [ 2 marks each]
1) Geeta invites Shyam for dinner to her house. Shyam forgets and Geeta is very
upset. Does Geeta have a remedy? Can she go to court to get Shyam to pay the
expenses of the dinner?
Answer: Geeta cannot go to court for compensation as the invitation to dinner and its
acceptance is only a social agreement and not a contract.
2) Meeta makes an agreement to sell five mobile phones for Rs. 16,000/- each to
Madhuri. Madhuri accepts the offer. If Madhuri fails to purchase the mobile
phones, can Meeta go to court to enforce the contract?
Answer: Meeta can ask for enforceability of the contract. This agreement is a contract
because there is an offer by Meeta for some consideration and Madhuri accepts it. Similarly,
if Meeta was to breach the contract then Madhuri could apply for enforceability of the
contract.
3) Rani agrees to sell her red car for Rs 90,000/- or Rs 1,00,000/-. Is this agreement
valid?
Answer: The agreement is not valid because there is no certainty in the terms of agreement.
There are two prices quoted. Which is the one acceptable for sale? The agreement is void of
certainty. (Section 29).
4) Jasmine purchased three kilos of sugar and one kilo of rice from a grocery store
for her personal consumption. She is a minor. She does not want to pay. Can the
shopkeeper recover the amount?
Answer: The minor has purchased products of need as they are required for food. She is
liable to pay to the shopkeeper.
5) Shashi invited two of her friends for dinner. At the last moment, they decided to
come but not have dinner with her. She had made elaborate arrangements of
decorations, lighting, and food. She was very angry. Can Shashi sue her friends
for the loss she has suffered?
Answer: Shashi cannot sue her friends because it is a social agreement and lacks the intention
to create legal relations.
6) Mohan entered into an agreement with Subhash to write 1500 pages in two days
for a sum of Rs 1,00,000 as consideration. The manuscript was required urgently
for publication. Subhash could not deliver the manuscript. Can Mohan sue
Subhash for the loss?
Answer: Mohan cannot sue Subhash because the contract is not valid. According to section
56 an agreement to do an impossible act is void.
7) Sangeetha made an agreement with Shanti to design her teeth and make her look
beautiful. On the day of the appointment, there was an earthquake and
Sangeetha’s clinic was destroyed. Can Shanti sue Sangeetha?
Answer: Sangeetha is unable to keep her promise because of supervening impossibility and
not because of any lapse on her part. She is unable to perform her part of the agreement
because a natural calamity has completely ruined her clinic. Hence, she cannot be made
liable.
8) Mona agrees to sell her car to her friend Anu for Rs 3,00,000 and deliver it on
the 15th of June 2022. On the 12th of June she sells and delivers the car to Amit
because he is giving her Rs 3,20,000 for the car. If Anu sues Mona, will she
succeed?
Answer: Anu has the right to get the car delivered to her because the agreement was made
with her first. This is an anticipatory breach of contract on the part of Mona.
9) Mathew promises to give his daughter pocket money of Rs 1000/- every week. He
gives her the money for 3 weeks and then decides that the amount is very high
and so he stops paying her the amount. Can his daughter sue him?
Answer: This is not a legally binding contract as it is a social agreement between a parent and
his daughter. The intention was not to create a legal relationship. It was a family matter.
Hence it is not enforceable.
10) Amit gets his parents to sell the house to his friend forcibly. Is this a valid
contract?
Answer: This is not a valid contract, as the agreement was not made with free consent. When
a contract is made both parties must understand and agree on all the things in the contract in
the same sense and in the same way. They should have agreed on all the terms and conditions
without any undue influence or mistake in understanding of the product.
11) Mr. Rajan is selling his blue EcoSport car to his secretary. However, his
secretary Rita thinks that she is buying the new red sports model car. Is this a
valid contract?
Answer: There is no meeting of minds and hence there is no valid contract.
12) Manoj is a lunatic and gets attacks of lunacy at intervals. Is he competent to
contract?
Answer: Manoj can enter into a contract in those periods when he is not suffering from
lunacy. He is competent to contract when she is not under the influence of an attack of
lunacy.
13) X has entered into a contract with Y to sell one camera, two cello phones and 3
televisions for Rs. 55,000. All the things were taken by X through theft. Is this a
valid contract?
Answer: This agreement has a promise and a consideration, but it does not have lawful
consideration since X got the things unlawfully through theft. Unlawful consideration makes
an agreement void and it is not legally enforceable.
14) Ruhi wanted to buy a gold chain for her mother’s birthday. The goldsmith
promised to deliver it on the 20th of May 2022. On the due date the chain was
not ready. Ruhi rescinded the contract and decided to buy something else. The
goldsmith wanted compensation. Is he right?
Answer: The goldsmith is not correct. If he did not deliver the goods on time Ruhi has the
right to rescind the contract. Thus, in a voidable contract the aggrieved party can take benefit
of the situation. He/she may decide to go ahead with the contract as well. Thus, in a voidable
contract a flaw can create a benefit for a party. However, if the party decides to continue with
the contract, the terms and agreements will continue to be valid, and the contract will also be
a valid one.
15) X sells to Y a Casio brand camera. The camera turned out to be a cheap one with
a fake branding. What can Y do?
Answer: Y can reject the camera on the grounds of misrepresentation of the goods to be sold.
The contract is voidable due to misrepresentation. Y can also decide to continue with the
contract and if Y decides to continue with the deal, it will be a valid contract.
16) Anil made an agreement with Suman to sell house no P-21 in Sushant Lok in
Gurgaon. The terms and conditions were finalized. Before the due date for the
transaction to take place there was an earthquake and the house fell down. Anil
could not keep his promise because the house did not exist anymore. Is this
contract valid?
Answer: This contract is void because the agreement was made on the basis of the house in
possession. Since Anil did not have the house after the natural calamity it was a near
impossibility to deliver the goods to Suman.
18) Madhuri entered into a contract with Salma. She promised to deliver silver
jewellery to her from her newly designed pieces. On the due date, the specialist making
the ornaments died and she could not deliver the jewels. Is this contract valid?
The contract is void. It was valid and enforceable by law when it was made but due to this
circumstance it became a near impossibility to carry it out.
19) The hotel porter cleaned Mr. Madan’s car though he was not asked to do so.
Mr. Madan accepted the services. The porter was expecting to be paid for services that
he had not been asked to do. Is there any implied contract?
Answer: This is an implied contract as the porter expects payment for his services and Mr.
Madan accepted his services and allowed him to clean his car.
20) Leena is 15 years old. Does she have the capacity to enter into a contract?
Answer: Leena cannot enter into a contract because she is a minor. She will be able to enter
into a contract when she attains the age of majority.