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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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An agreement toput a fire on a person's car is a ______: (a) Legal (b) Voidable (c) Valid (d) Illegal		View Answer
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		View Answer
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		View Answer
Goods displayed in a shop window with a price label will amount to: a) Offer b) Acceptance of Offer c) Invitation to offer d) Counter offer		View Answer
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		View Answer
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		View Answer
When an offer is made to the world at large, it is ____________ offer. (a) Counter (b) Special (c) General (d) None of the above		View Answer
When offer is made to a definite person, it is known as (a) Special Offer (b) Counter Offer (c) Cross Offer (d) General Offer		View Answer
____________ is good in substance, but suffers from some technical defects like absence in writing, barred by limitation etc. (a) Valid contract (b) Voidable contract (c) Illegal contarct (d) Unenforceable contract		View Answer
S offered a reward to anyone who returns his lost dog. F bought the dog to S withouh having heard the offer. Which of the following is correct? (a) F is entitled to the reward (b) F is not entitled to the reward (c) S has to find the dog himself (d) No reward can be given for the return of lost dog		View Answer
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		View Answer
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		View Answer
a voidable contract is one which is ______________. (a) Not enforceable by either of the parties thereto (b) Enforceable by either of the parties thereto (c) Enforceable only with the permission of the court (d) Enforceable at the option of one of the parties thereto		View Answer
_____________ is a game of chance. (a) Conditional Contract (b) Contingent Contract (c) Wagering Contract (d) Quasi Contract		View Answer
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) Intend to create legal relations c) Have certain and unambiguous terms d) Be communicated to the person to whom it is made		View Answer
A by a letter dated 10 th January 2008, offers to sell his house to B for Rs 40 Lacs. The letter reaches b on 17th January 2008, who posts his acceptance on 18th January 2008 which reaches A on 30th January 2008. Here the communication of offer is complete on: (a) 18.01.2008 (b) 30.01.2008 (c) 17.01.2008 (d) 10.01.2008		View Answer
Is the statement true or false: "All contracts are agreements but all agreements are not contract" (a) True (b) False (c) Partly true (d) Can't say		View Answer
____________ agreements are created by situation: (a) Written (b) Oral (c) Void (d) Implied		View Answer
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		View Answer
S agrees to sell his DVD player to R promising to deliver it on the date of payment. R promises to pay the amount one month hence. This is an example of: (a) Void contract (b) Illegal contract (c) Unilateral contract (d) Bilateral contract		View Answer