Topics of Law Test 50

Result

Topics of Law Test 50

Score
-
out of -
Rank
-
out of -

TIME Taken - -

SHARING IS CARING

If our Website helped you a little, then kindly spread our voice using Social Networks. Spread our word to your readers, friends, teachers, students & all those close ones who deserve to know what you know now.

Weekly Quiz Competition

Question 1
1 / -0

There are _____ to the contract of indemnity while there are _______ to the contract of guarantee.

A
Three parties, Two parties

B
Two parties, Three parties

C
Two parties, Four parties

D
Four parties, Two parties

Solution

Section 126 of the Indian Contract Act talks about Contract of Guarantee. It states A ‘contract of guarantee’ is a contract to perform the promise, or discharge the liability, of a third person in case of his default. It involves three parties.
Section 124 of the Indian Contract Act defines the “Contract of indemnity” —A contract by which one party promises to save the other from loss caused to him by the conduct of the promisor himself, or by the conduct of any other person, is called a “contract of indemnity.” It involves two parties.
Question 2
1 / -0

The person who promises to make the loss good is called as _____.

A
Indemnified

B
Indemnity holder

C
Indemnifier

D
Surety
Question 3
1 / -0

A finds a ring of B and sells it to a third person who purchases it for value and in good faith. Which of the following is correct?

A
In the given case, sale by A to third person is valid as under of goods can treated as owner.

B
In the given case, sale by A to third person is valid as A has implied power given by the law to sell the goods found.

C
In the given case, sale by A to third person is not valid as A has no title.

D
In the given case, sale by A to third person is not valid as A has no title. B can recover ring from third person and such third person can recover damages from A.

Solution

Section 27 of Indian Contract Act, 1872 states, "Agreement in restraint of trade, void. Every agreement by which any one is restrained from exercising a lawful profession, trade or business of any kind, is to that extent void. Every agreement by which any one is restrained from exercising a lawful profession, trade or business of any kind, is to that extent void."
Question 4
1 / -0

Sometimes, a person finds certain goods belonging to some other persons. In such a case, the finder ______.

A
Becomes the owner of the goods and can use them

B
Is under a duty to trace the true owner and return the goods

C
Can sell the perishable goods if true owner cannot be found

D
Both (B) and (C)

Solution

Under Section 169 of Indian Contract Act, 1872, "When finder of thing commonly on sale may sell it.—When a thing which is commonly the subject of sale is lost, if the owner cannot with reasonable diligence be found, or if he refuses upon demand, to pay the lawful charges of the finder, the finder may sell it— —When a thing which is commonly the subject of sale is lost, if the owner cannot with reasonable diligence be found, or if he refuses upon demand, to pay the lawful charges of the finder, the finder may sell it—"
(1) when the thing is in danger of perishing or of losing the greater part of its value, or
(2) when the lawful charges of the finder, in respect of the thing found, amount to two-thirds of its value.
Question 5
1 / -0

A pays the money to B by mistake. It is really due to C. Decide.

A
B must refund the money to A.

B
B must refund the money to A. C can also recover the amount from B as there is privity of contract.

C
B is not required to refund the money to A. C can also recover the amount from B.

D
B must refund the money to A. C however cannot recover the amount from B as there is no privity of contract.

Solution

The Section 72 of The Indian Contract Act states 'Liability of person to whom money is paid, or thing delivered, by mistake or under coercion.—A person to whom money has been paid, or anything delivered, by mistake or under coercion, must repay or return it.'
Question 6
1 / -0

Finder of goods can sell the goods found, if the lawful charges of finder, amount to _____ of the value of goods.

A
1/3rd

B
1/4th

C
1/5th

D
2/3rd
Question 7
1 / -0

A, a tradesman, leaves the goods at C's house by mistake. C treats the goods as his own. Which of the following is correct?

A
C is not bound to pay for the goods.

B
C is not bound to pay for the goods as it entirely mistake of A.

C
C is bound to pay for the goods.

D
None of the above

Solution

Section 70 of the Indian Contract Act states, "Obligation of person enjoying benefit of non-gratuitous act.—Where a person lawfully does anything for another person, or delivers anything to him, not intending to do so gratuitously, and such other person enjoys the benefit thereof, the latter is bound to make compensation to the former in respect of, or to restore, the thing so done or delivered."
When A, a tradesman, leaves goods at C's house by mistake, C treats the goods as his own. He is bound to pay A for them.
Question 8
1 / -0

The person who's loss is to be made good is called as _____.

A
Indemnified

B
Indemnity holder

C
Indemnifier

D
(A) or (B)

Solution

Under Section 124 of Indian Contract Act Contract of indemnity means that one party promises to save the other from loss caused to him by conduct of the promiser or any other person. But the indemnifier will not compensate if the loss to indemnity holder is caused by his own act then. In a contract there are two parties to contract the promiser and promisee. In contract of indemnity the parties are called as indemnifier and indemnity holder.
Question 9
1 / -0

Finder of goods can sell the goods found, if _____.

A
Owner can be found with reasonable diligence

B
Owner, if found, pays the lawful charges of the finder

C
Goods are in danger of perishing

D
All of the above
Question 10
1 / -0

When a surety has paid more than his share of debt to the creditor, he has a right of contribution from the co-securities who are equally bound to pay with him.

A
False

B
True

C
Partly true

D
None of the above

Solution

Rights of Surety against Co-sureties:
When two or more persons give a guarantee for the same debt, they are called as co-sureties. All of them are equally liable to the creditor for the payment of the debt to the creditor. The rights of one co-surety against the other co-sureties are as follows:
1. Right to Contribute Equally
If two or more persons are co-sureties for the same debt either jointly or severally, or whether under the same or different contracts and whether with or without the knowledge of each other, the co-sureties in the absence of any contract to the contrary, are liable as between themselves, to pay each, an equal shares of the whole debt, or that part of it which remains unpaid by the principal debtor.
Sometimes, one co-surety discharges the entire obligations. In such cases, he can obtain equal contribution from the other co-sureties.
2. Liability of Co-sureties bound in Different Sums
If the co-sureties are bound in different sums, they are liable to pay equally but not more than the maximum amount guaranteed by each one of them.

User

Question Analysis

Correct -
Wrong -
Skipped -

My Perfomance

Score
-
out of -
Rank
-
out of -

Re-Attempt Weekly Quiz Competition

Topics of Law Test 50

Result

Topics of Law Test 50

Score

-

Rank

-

SHARING IS CARING

Question 1

Three parties, Two parties

Two parties, Three parties

Two parties, Four parties

Four parties, Two parties

Solution

Question 2

Indemnified

Indemnity holder

Indemnifier

Surety

Question 3

In the given case, sale by A to third person is valid as under of goods can treated as owner.

In the given case, sale by A to third person is valid as A has implied power given by the law to sell the goods found.

In the given case, sale by A to third person is not valid as A has no title.

In the given case, sale by A to third person is not valid as A has no title. B can recover ring from third person and such third person can recover damages from A.

Solution

Question 4

Becomes the owner of the goods and can use them

Is under a duty to trace the true owner and return the goods

Can sell the perishable goods if true owner cannot be found

Both (B) and (C)

Solution

Question 5

B must refund the money to A.

B must refund the money to A. C can also recover the amount from B as there is privity of contract.

B is not required to refund the money to A. C can also recover the amount from B.

B must refund the money to A. C however cannot recover the amount from B as there is no privity of contract.

Solution

Question 6

1/3rd

1/4th

1/5th

2/3rd

Question 7

C is not bound to pay for the goods.

C is not bound to pay for the goods as it entirely mistake of A.

C is bound to pay for the goods.

None of the above

Solution

Question 8

Indemnified

Indemnity holder

Indemnifier

(A) or (B)

Solution

Question 9

Owner can be found with reasonable diligence

Owner, if found, pays the lawful charges of the finder

Goods are in danger of perishing

All of the above

Question 10

False

True

Partly true

None of the above

Solution

User

Question Analysis

My Perfomance

Score

-

Rank

-

Results Announcement on: coming Monday

Stay Tuned: We’ll update you on your result via email or SMS.