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Nature of contracts Interview Questions & Answers

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Nature of contracts Interview Questions & Answers

A contract which ceases to be enforceable by law becomes void when it cases to be enforceable. A voidable contract is a contract which a enforceable at the option of one party but not at the option of other party. Nature: A void contract was valid when it was made. The purpose of a contract is to establish the agreement that the parties have made and to fix their rights and duties in accordance with that agreement. The courts must enforce a valid contract as it is made, unless there are grounds that bar its enforcement.

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Question
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Non- fulfillment by an offeree of a condition precedent to acceptance leads to __________.
(a) Completion
(b) Communication
(c) Lapse
(d) Execution
0.2 Rating
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Cash withdrawn through ATM of a bank is:
(a) Unilateral Contract
(b) Tacit Contract
(c) Executed Contract
(d) Executory Contract
0.2 Rating
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Only those agreements which _________ are contracts:
(a) Contains a promise
(b) Are not legally enforceable
(c) Are legally enforceable
(d) Are not void
0.2 Rating
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A asks B a watch repairer to repair his watch without forming any contractual relationship, still a legal relationship has arisen and it will create _____________
(a) Express Contract
(b) Implied Contract
(c) Tacit Contarct
(d) Formal Contract
0.2 Rating
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Which of the following is false? An offer to be valid must:
(a) Contain a term the non compliance of which would amount to acceptance
(b) Be certain and definite
(c) Be capable of creating legal relations
(d) Be communicated to the person to whom offer is made
0.2 Rating
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A advertises to sell his old car by advertising in a newspaper. This offer is caleed:
(a) General Offer
(b) Special Offer
(c) Continuing Offer
(d) None of the above
0.2 Rating
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10. When two parties exchange identical offers in ignorance at the time of each other's offer, the offers ae called: a) Counter Offer b) Cross Offer c) General Offer d) Special Offer
0.3 Rating
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Indian Contract Act, 1872 is passed by: a) Indian Parliament b) British Parliament c) U.S Congress d) None of these
0.2 Rating
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A contract is an agreement:
(a) Made by the parties who are competent to contract
(b) Not enforceable by law
(c) Enforceable at the option of the aggrieved party
(d) Made without free consent and consideration
0.2 Rating
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A promise is a:
(a) Consideration
(b) Contract
(c) An accepted proposal
(d) Proposal
0.2 Rating
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When a bookseller sells a book on cash payment then it is called as ___________:
(a) Unilateral Contract
(b) Bilateral Contract
(c) Executed Contract
(d) Executory Contract
0.2 Rating
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_________ amounts to rejection of the original offer.
(a) Cross offer
(b) Special offer
(c) Standing offer
(d) Counter offer
0.2 Rating
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Which of the following statements is not correct?
(a) Acceptance must be absolute
(b) Communication of an offer is essential
(c) An offer must not be conditional
(d) Acceptance may be given in any manner
0.2 Rating
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Agreement is defined in Section ________ of the Indian Contract Act, 1872. a) 2(e) b) 2(c) c) 2(g) d) 2(i)
0.2 Rating
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Which one of the following constitutes an offer in a self- service store? a) Picking up an article and approaching the cashier's desk for payment b) Display of goods at the shop window c) There is no offer in such cases d) when the customer asks for some goods
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11. An agreement which is enforceable by law at the option of one or more of the parties thereto, but not at the option of the other is a : a) Valid contract b) Unforceable contract c) Voidable contract d) Void agreement
0.2 Rating
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An agreement enforceable by law is:
(a) Obligation
(b) Promise
(c) Proposal
(d) Contract
0.2 Rating
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X makes a proposal to Y, which Y accepts. But before the acceptance came to the knowledge of X, Y revokes his acceptance by telegram. When the revocation is complete?
(a) When the telegram is received by X
(b) When X accepts the revocation
(c) When the telegram is dispatched
(d) When the contents of the telegram come to the knowledge of X.
0.2 Rating
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In an auction sale, 'X' is the highest bider. The auctioneer accepts the offer by not speaking but striking the hammer on the table. This amounts to: a) Express acceptance b) Implied acceptance c) Future acceptance d) No acceptance
0.2 Rating
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A one- sided contract in which only one party has to perform his promise called
(a) Bilateral contract
(b) Executory contract
(c) Unilateral contract
(d) Executed contract
0.2 Rating
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Latest 20 Questions
Payment of time- barred debt is: (a) Valid (b) Void (c) Illegal (d) Voidable
Consideration is defined in the Indian Contract Act,1872 in: (a) Section 2(f) (b) Section 2(e) (c) Section 2(g) (d) Section 2(d)
Which of the following is not an exception to the rule, "No consideration, No contract": (a) Natural love and affection (b) Compensation for involuntary services (c) Completed gift (d) Agency
Consideration must move at the desire of: (a) The promisor (b) The promisee (c) The promisor or any other party (d) Both the promisor and the promisee
An offer which is open for acceptance over a period of time is: (a) Cross Offer (b) Counter Offer (c) Standing Offer (d) Implied Offer
Specific offer can be communicated to__________ (a) All the parties of contract (b) General public in universe (c) Specific person (d) None of the above
_________ amounts to rejection of the original offer. (a) Cross offer (b) Special offer (c) Standing offer (d) Counter offer
A advertises to sell his old car by advertising in a newspaper. This offer is caleed: (a) General Offer (b) Special Offer (c) Continuing Offer (d) None of the above
In case a counter offer is made, the original offer stands: (a) Rejected (b) Accepted automatically (c) Accepted subject to certain modifications and variations (d) None of the above
In case of unenforceable contract having some technical defect, parties (a) Can sue upon it (b) Cannot sue upon it (c) Should consider it to be illegal (d) None of the above
If entire specified goods is perished before entering into contract of sale, the contract is (a) Valid (b) Void (c) Voidable (d) Cancelled
______________ contracts are also caled contracts with executed consideration. (a) Unilateral (b) Completed (c) Bilateral (d) Executory
A offers B to supply books @ Rs 100 each but B accepts the same with condition of 10% discount. This is a case of (a) Counter Offer (b) Cross Offer (c) Specific Offer (d) General Offer
_____________ is a game of chance. (a) Conditional Contract (b) Contingent Contract (c) Wagering Contract (d) Quasi Contract
There is no binding contract in case of _______ as one's offer cannot be constructed as acceptance (a) Cross Offer (b) Standing Offer (c) Counter Offer (d) Special Offer
An offer is made with an intention to have negotiation from other party. This type of offer is: (a) Invitation to offer (b) Valid offer (c) Voidable (d) None of the above
When an offer is made to the world at large, it is ____________ offer. (a) Counter (b) Special (c) General (d) None of the above
Implied contract even if not in writing or express words is perfectly _______________ if all the conditions are satisfied:- (a) Void (b) Voidable (c) Valid (d) Illegal
A specific offer can be accepted by ___________. (a) Any person (b) Any friend to offeror (c) The person to whom it is made (d) Any friend of offeree
An agreement toput a fire on a person's car is a ______: (a) Legal (b) Voidable (c) Valid (d) Illegal



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