Indian Contract Act - Study Mode
[#111] When the consent to an agreement is caused by misrepresentation or by silence, fraudulent within the meaning of Section 17 and the party whose consent was so caused had the means of discovering the truth with ordinary diligence, then
Correct Answer
(C) Such a contract is valid and enforceable
[#112] In which one of the following conditions, can an agent sub-delegate his authority to another person?
Correct Answer
(D) When commercial practice involves such delegation
Explanation
Solution: As per the Indian Contract Act, 1872, an agent is generally not allowed to delegate his authority to another person unless certain exceptions apply. Sub-delegation is permissible in the following cases: 1. When commercial practice involves such delegation: If it is a common trade custom or practice in a particular business, an agent can delegate authority. ( Option D ) 2. When the principal expressly allows delegation: If the principal has given permission, the agent can appoint a sub-agent. 3. When the nature of work requires delegation: If the duties assigned are such that they require another person’s involvement, delegation is allowed. 4. When unforeseen circumstances arise: In emergencies where the agent cannot perform duties, sub-delegation may be justified. Options A, B, and C do not justify sub-delegation as per legal principles. Therefore, Option D is the correct answer.
[#113] A local development authority announced a housing scheme and accepted applications under it, subsequently finding that the scheme was in violation of the Master Plan cancelled it.
Correct Answer
(C) It is free to do so without any shackles of promissory estoppel as there cannot be any estoppel against the Government in the exercise of its sovereign, legislative and executive functions
[#114] In which of the following cases a contract may be specifically performed?
Correct Answer
(A) When the act agreed to be done is in the performance wholly or partly of a trust
[#115] "Contract of indemnity" is defined in which section of Indian Contract Act
Correct Answer
(A) Section 124