A contract creates
(a) rights and obligations of the parties to it.
(b) obligations of the parties to it.
(c) mutual understanding between the parties to it.
(d) mutual lawful rights and obligations of the parties to it.

1 Answer

Answer :

(b) obligations of the parties to it.

Related questions

Description : A Contract creates.............. (a) Rights in personam (b) Rights in rem (c) Only rights and no obligations (d) Only Obligations and no rights.

Last Answer : (a) Rights in personam

Description : “A Contract is an agreement creating and defining obligations between the parties” the definition was put forwarded by (a) Dr. Ambedkar (b) Pollock (c) Salmonds (d) N.D.Kapoor

Last Answer : (c) Salmonds

Description : Valid contracts (a) are made by free consent. (b) are made by competent parties. (c) have lawful consideration and lawful object. (d) all of the above.

Last Answer : (d) all of the above.

Description : The contract which creates the relationship of an agent and principal a. Agency b. Bailment c. Pledge d. Offer

Last Answer : a. Agency

Description : What is the ratio of parties in contract of indemnity and contract of guarantee (a) 2 : 3 (b) 3 : 2 (c) 1 : 3 (d) 2 : 1

Last Answer : (a) 2 : 3

Description : Damages which the contracting parties fix at the time of contract in case of breach (a) Unliquidated Damages (b) Liquidated Damages (c) Nominal Damages (d) None of the above

Last Answer : (b) Liquidated Damages

Description : An agreement is a Voidable Contract when it is (a) Enforceable (b) Enforceable by Law at the option of the aggrieved party (c) Enforceable by both the parties (d) Not enforceable at all.

Last Answer : (b) Enforceable by Law at the option of the aggrieved party

Description : For binding contract both the parties to the contract must: (a) Agree with each other. (b) Put the offer and counter offers. (c) Stipulate their individual offer (d) Agree upon the same thing in the same sense.

Last Answer : (d) Agree upon the same thing in the same sense.

Description : To form a valid contract, there should be atleast ............. (a) Two parties (b) Three parties (c) Four parties (d) Five parties.

Last Answer : (a) Two parties

Description : Which of the following is not a duty of principal? a. To pay remuneration to agent b. To indemnify the agent against the consequences of all lawful acts. c. Right to be indemnified against consequences of acts done in good faith d. Duty to pay money received.

Last Answer : d. Duty to pay money received.

Description : Contractual rights and duties are created by ............... (a) State (b) Statute (c) Parties (d) Custom or Usage.

Last Answer : (c) Parties

Description : A contract is said to be discharged or terminated (a) When the rights and obligation are completed (b) When the contract becomes voidable (c) Both (a) & (b) (d) None of the above

Last Answer : (a) When the rights and obligation are completed

Description : A bailment in which only the person who borrows and article gets the benefits is known as: a) Bailment for the sole benefits of the bailee b) Bailment for the sole benefits of the bailor c) Mutual benefit bailment d) Constructive bailment

Last Answer : a) Bailment for the sole benefits of the bailee

Description : Which of the following is not a termination of agency by acts of the parties. a. Agreement b. Revocation by principal c. Insolvency d. Revocation by agent

Last Answer : c. Insolvency

Description : Which of the following statement is/are correct (a) Ordinary damages are recoverable (b) Special damages are recoverable only if parties know about them (c) Remote or indirect damages are not recoverable (d) All of these

Last Answer : (d) All of these

Description : Offer implied from conduct of parties or from circumstances of the case is called ........... (a) Implied offer (b) Express offer (c) General offer (d) Specific offer

Last Answer : (a) Implied offer

Description : In Commercial and business agreements, the intention of the parties to create legal relationship is (a) Presumed to exist (b) To be specifically expressed in writing (c) Not relevant or all (d) Not applicable.

Last Answer : (a) Presumed to exist

Description : In agreements of a purely domestic nature, the intention of the parties to create legal relationship is (a) to be proved to the satisfaction of the court. (b) presumed to exist. (c) required to the extent of consideration. (d) not relevant at all.

Last Answer : (a) to be proved to the satisfaction of the court.

Description : An agreement consists of reciprocal promises between at least (a) four parties. (b) six parties. (c) three parties. (d) two parties.

Last Answer : (d) two parties.

Description : A ______ is a contract to person the promise or to discharge a liability of a third person in case of his default. a) Contract of indemnity b) contract of guarantee c) Implied contract d) express contract

Last Answer : b) contract of guarantee

Description : A contract by which one party promises to save the other from loses caused to him by the conduct of the promise himself or by the conduct of any other person is called a ________ a) Contract of indemnity b) Contract of guarantee c) Quasi contract d) none of these

Last Answer : a) Contract of indemnity

Description : where by exercising the right of stoppage in transit the unpaid seller regains the possession of goods, then a) unpaid seller lien revives b)contract of sale in terminated c) unpaid seller lien does not revive d)sellers possession in unlawful

Last Answer : c) unpaid seller lien does not revive

Description : A stipulation which is essential to the main purpose of the contract and if prove false give the buyer a right terminate the contract is legally known as a) guarantee b)condition c) warranty d)none of these

Last Answer : c) warranty

Description : In Case of unconditional contract of sale, the property passes to the buyer at the time of making the contract. for this to apply, the goods must be a) specific b)in a deliverable state c) physically transferred to buyer d)both(a) and (b)

Last Answer : a) specific

Description : which of the following modes of delivery of goods is considered effective for a valid contract of sale? a) constructive delivery b)symbolic delivery c) actual delivery d)all of this

Last Answer : c) actual delivery

Description : which of the following is not an implied conditions in a contract of sale? a) condition as to description b)condition as to title c) condition as to free from encumbrance d)condition as to sample

Last Answer : c) condition as to free from encumbrance

Description : The merchantable in sec 14(2)defined in a) Indian contract act b) sale of goods act c) English sale of goods act d) none if this

Last Answer : c) English sale of goods act

Description : A contract for the sale of “future goods is “ a) agreement to sell b)sale c) void d)voidable

Last Answer : a) agreement to sell

Description : A contract for the sale of goods which provides that the property would pass to the buyer on full payment of price and execution of sale deed is known as a)sale of approval b)hire purchase agreement c) sale d)agreement to sell

Last Answer : d)agreement to sell

Description : Warranty is a contract means a) collateral to main purpose b)condition to main purpose c) representation to main purpose d)none of the above

Last Answer : a) collateral to main purpose

Description : Representation of contract for the main purpose are called a) warranties b)conditions c) agreements d)members

Last Answer : b)conditions

Description : Contract of sale may be a) agency relationship b)sale or agreement c)indemnity d)guarantee.

Last Answer : b)sale or agreement

Description : The sale of goods act 1930 deals with the a) movable goods only b)period of contract c) immovable goods d)none of the above

Last Answer : a) movable goods only

Description : Where both the name and existence of the principal are not disclosed in the contract. Such principal is called a. Undisclosed principal b. Unnamed principal c. Named principal d. Prohibited principal

Last Answer : a. Undisclosed principal

Description : Law relating to agency is contained in ……. Chapter of the Indian Contract Act. a. Chapter IX b. Chapter X c. Chapter XI d. Chapter XII

Last Answer : b. Chapter X

Description : Bailment is a special kind of contract that is widely used in business and in: a) Personal affairs b) Cultural activities c) Academic research d) Charitable institution

Last Answer : a) Personal affairs

Description : A mercantile agent employed to sell goods which have been placed in his possession or contract to buy goods for his principal (a) Factors (b) Brokers (c) Del Credere Agent (d) Auctioneers

Last Answer : (a) Factors

Description : In case of Contract of guarantee, if the creditor loses or parts with any security which the debtor provides him at time of contract, the surety is discharged to the extent of (a) The value of the security (b) The surety can be fully discharged (c) The surety can claim damages (d) All of the above

Last Answer : (a) The value of the security

Description : In case of contract of guarantee, what is the liability of the surety against the principal debtor (a) Primary (b) Secondary (c) No liability (d) Fully liable

Last Answer : (b) Secondary

Description : In contract of indemnity, what is the liability of indemnifier against the indemnified (a) Primary (b) Secondary (c) No liability (d) Both (a) & (b)

Last Answer : (a) Primary

Description : Under the Indian Contract Act, the contract of indemnity is restricted to such cases (a) Where the loss promise to be reimbursed is caused by the conduct of the promisor or any other person (b) The loss caused ... accident which does not depend upon conduct of any person (c) Both (a) & (b) (d) None

Last Answer : (b) The loss caused by the any events or accident which does not depend upon conduct of any person

Description : Exemplary damages are not awarded in such case (a) Breach of promise to marry (b) Wrongful dishonour & customers cheque by banker (c) Breach of any business contract (d) None of the above

Last Answer : (c) Breach of any business contract

Description : A party entitled to rescind the contract, loses the remedy where (a) He has ratified the contract (b) Third party has acquired right in good faith (c) Contract is not separable (d) All of the above

Last Answer : (d) All of the above

Description : A contract which is impossible to perform is (a) Voidable (b) Void (c) Illegal (d) Enforceable

Last Answer : (b) Void

Description : Change in one or more of the important terms in a contract, it is the case of (a) Novation (b) Rescission (c) Remission (d) Alternation

Last Answer : (d) Alternation

Description : If in a contract, the time lapses and if the party fails to perform the contract within specified time the contract becomes (a) Voidable (b) Void (c) Illegal (d) Enforceable in the court

Last Answer : (a) Voidable

Description : Which is not the mode of discharge of contract (a) Performance of contract (b) Lapse of time (c) Breach of contract (d) Injunction

Last Answer : (d) Injunction

Description : A contingent contract is (a) Void (b) Voidable (c) Valid (d) Illegal

Last Answer : (c) Valid

Description : The term” Promise” has been defined in .............. of the Indian Contract Act. (a) Section 2(a) (b) Section 2(b) (c) Section 2(c) (d) Section 2(d)

Last Answer : (b) Section 2(b)

Description : The term” Proposal or offer” has been defined in - of the Indian contract Act. (a) Section 2(a) (b) Section 2(b) (c) Section 2(c) (d) Section 2(d)

Last Answer : (a) Section 2(a)