CLATapult™ CTPT/LeR/02

Worksheet 1- Introduction to Contracts -Legal Aptitude

Q 1. Principle: An agreement made with the intention of entering into a legal relationship gives rise to a
contract.

Fact: Mukesh and Vijay are best friends. Mukesh invites Vijay to a dinner hotel, Vijay accepts the invitation.
Vijay gets ready to go to the Dinner hotel at the prescribed time, but finds out through snapchat story that
Mukesh is partying it up in Roxy club at Park Street. Vijay wants to sue Mukesh for not keeping his promise of
dinner.

(a) Mukesh is liable as he lied to Vijay and did not keep his promise.
(b) Mukesh is not liable as he had a party to attend at Roxy, which no one in their right mind would miss.
(c) Mukesh is liable as Vijay got ready to go to the hotel and is hurt as his best friend did not take him
to party along.
(d) Mukesh is not liable as this was a social agreement with no intention to create a legally
binding relationship.

Q 2. Principle: When the parties to an agreement agree on the same thing in the same sense, there arise legally
binding obligations between them.

Fact: A who owns two cars, one Maruti and one Santro, offers to sell B one car. A intends to sell Maruti car. B
accepts the car thinking that it is the Santro. Is A liable?

(a) A is not liable as there is no consensus and hence no contract.

(b) A is liable as once he had offered, the contract is complete.
(c) It is up to the court to decide the liability.

Q 3 & 4. Principle:
(1) A proposal to do or abstain from doing something must be communicated to the other party with the view
of obtaining the assent of such other party.
(2) An acceptance is valid when the person accepting the offer is aware of the proposal and accepts it
unconditionally.

3. Facts: A loses her wallet at work. He offers 500 rupees to anyone who finds it. B who is a co-worker was in
the washroom when A made the offer. B finds the wallet floating in the toilet sink. B retrieves the wallet from
the sink and gives it to A. B becomes aware of the offer and wants 500 rupees as promised. A refuses to give
500 rupees. Decide.

(a) B cannot get 500 rupees as finding a giving wallet to a co-worker is not a big deal.
(b) B can get 500 rupees as he took out the wallet from the dirty toilet sink to give it to A.
(c) B cannot get 500 rupees as B was not aware of the offer since he was in the washroom when the offer
was made. Therefore, there is no valid acceptance to complete the contract.
(d) B can get the 500 rupees as A made a general offer to everyone and B is included in it.
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4. Facts: A communicates to B that “I really like your car. I wish I could own it someday. What is the lowest
price for your car?”. B, who loves his car, replies, “the lowest price is ten lakh rupees”. A replies saying “I
accept to buy it at ten lakh rupees”. When A shows up at B’s house to take the car and give the money, B
refuses on grounds that there is a no contract. Decide.

(a) B is bound to sell the car as there is an unconditional acceptance by A who is aware of B’s proposal.
(b) B is not bound to sell as he has a great car which he loves.
(c) B is not bound to sell as he merely stated the price which does not amount to a proposal.
(d) B makes an offer in communicating ten lakh rupees to A which can be enforced.

Q 5 & 6. Principles:
(1) An agreement enforceable in a court of law is a contract.
(2) Parties to a contract should do something for the 'other party.' The obligation to do something for the other
party is mutual. This is called 'consideration' and absence of consideration renders the contract unenforceable.
(3) A consideration must be lawful. An illegal consideration is no consideration at all.

5. Facts: Mohan promised to take Sunday out for a dinner in Chola Sheraton.; Even after two weeks, Mohan
did not fulfill the promise. Sunday wants to sue Mohan to enforce that promise.

If- Sundar goes to court:

(a) he can compel Mohan to buy him a dinner at Chola Sheraton.
(b) he can recover the value of dinner from Mohan.
(c) This promise will not enforced by a Court of Law as there is no consideration from Sundar.
(d) None of the above.

6. Facts: Mustafa is a cunning man who is a collector of rare artefacts. Senu is a renowned thief having made
her name for stealing things with tightest of security. The Bank of England is exhibiting the famous
‘Swarn-hi-noor’ diamond at the Victoria Memorial in Kolkata. Mustafa contracts with Senu to pay her 20 lakh
rupees for stealing the diamond. Senu steals the diamond, Mustafa refuses to honour the contract. Senu wants to
sue Mustafa for breach of Contract. Decide

(a) The contract can be enforced since there is a valid consideration between both parties.
(b) Senu cannot sue Mustafa because she is a dishonourable thief.
(c) The contract can be enforced as there was a valid offer and acceptance along with performance.
(d) The contract cannot be enforced since stealing is illegal as consideration.

Q 7. Principle 1: An agreement entered into with a minor is void ab initio. Any agreement entered into with a
major is valid.
Principle 2: A minor is anyone who is below the age of 18 years.
Principle 3: A person who supplies necessities of life to a minor is entitled to be reimbursed for such supply.
Facts: Mr. Gupta owned a furniture shop. Puneet, a 9 th class student wanted a study table for his room. His
father Nitin was not allowing him to buy it. Puneet visited Mr. Gupta’s Shop and offered to buy a study table
for 5000/- rupees. Mr. Gupta looked at Puneet and realized that Puneet was not yet eighteen years old. Mr.
Gupta told Puneet that only if his father agreed to pay the price, will Mr. Gupta sell the table to Puneet. Puneet
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promised to Mr. Gupta that he would ensure that his father Nitin makes the payment. Nitin refused to make the
payment. Decide.

Mr. Gupta is not entitled to payment as an agreement with minor is void ab initio
(a) Mr. Gupta is entitled to payment as the money study table is for the necessity of Puneet.
(b) Study table not being a necessity, Mr. Gupta is not entitled to payment.
(c) None of the above

Q 8. Principles: A contract requires a proposal and an acceptance of the proposal. It is necessary to make a
binding contract, not only that the proposal be accepted, but also that the acceptance is notified to the proposer.

Fact: A writes to B, “I offer to sell my house for Rs 4,00,000. If I do not receive a reply by Monday, I shall
assume that you have accepted the offer.” Is there are valid contract between A and B.

(a) Yes, there is a valid contract.

(b) No, there is no valid contract as A made an offer, which was not accepted by B.
(c) Yes there is a valid contract since B remained silent as per A’s offer.
(d) No, there is no contract since A is an idiot to sell his big house for just Rs 4,00,000.