Indian Contract Act - Practice Test

[#1061] A pays Rs. 10,000 to B for manufacturing a machine. When it is partly manufactured, the contract is discharged by frustration. What is the remedy available to parties?

(A) A can recover Rs. 10,000 from B

(B) A need not pay any further amount to B

(C) B can retain Rs. 10,000

(D) B is entitled only to expenses incurred before the time of discharge

Correct Answer

(D) B is entitled only to expenses incurred before the time of discharge

[#1062] A' agrees to pay 'B' a sum of money if 'B' gets married to 'C'. 'C' marries 'D'. In such a situation, which one of the following statements, is correct?

(A) The agreement will be effective when 'C' will divorce 'D'

(B) The performance of the agreement will be deemed impossible

(C) B' is bound to get married to 'C' under the agreement

(D) A' is bound to pay 'B' the agreed sum of money

Correct Answer

(B) The performance of the agreement will be deemed impossible

[#1063] A suit for money paid and received does not lie in the following set of circumstances:

(A) Money paid by plaintiff to the defendant which he seeks to recover

(B) Money paid by the plaintiff to a third party for the benefit of the defendant which the plaintiff seeks to recover

(C) Money received by the defendant from third parties in circumstances in which it will not be looked upon as a plaintiffs money which he seeks to recover

(D) None of the above

Correct Answer

(B) Money paid by the plaintiff to a third party for the benefit of the defendant which the plaintiff seeks to recover

[#1064] Adomsen v.Tarois is a leading case on

(A) Bailment

(B) Contract of Indemnity

(C) Contract of Guarantee

(D) Pledge

Correct Answer

(A) Bailment

[#1065] Agreement without consideration is valid

(A) When made out of love & affection due to near relationship

(B) When made to compensate a person who has already done something voluntarily

(C) When made to pay a time barred debt

(D) All the above

Correct Answer

(D) All the above

Indian Contract Act - Study Mode

[#1061] A pays Rs. 10,000 to B for manufacturing a machine. When it is partly manufactured, the contract is discharged by frustration. What is the remedy available to parties?

Correct Answer

[#1062] A' agrees to pay 'B' a sum of money if 'B' gets married to 'C'. 'C' marries 'D'. In such a situation, which one of the following statements, is correct?

Correct Answer

[#1063] A suit for money paid and received does not lie in the following set of circumstances:

Correct Answer

[#1064] Adomsen v.Tarois is a leading case on

Correct Answer

[#1065] Agreement without consideration is valid

Correct Answer