226. Author = Prof: Prakash K. Mok itorrefise to accept. Khan has refused Ali's offer to buy the bunglost for Rs. 4 crores, Ali has ng remedy available. (© X Bank is tenant in a shopping centre owned by ABC rae aa bere the two parties, and X Bank is unwilling to vacate. fire breaks out and the whole shopping coats is vacated. The premises are reopened after 6 months post renovation. However, ABC Beate: arfivelbask possession ta) <°BankX Bank Has Hlciacais for recovery of possession of immovable property under the Specific Relief Act. i) Will X Bank succeed in the case ? ‘ 3 “Anewer : Yes, under Section 5 and 6 of the Specific Relief Act, 1963. ee ii) Can a servant who has been evicted, file a case for recovery of possession of immovable i i 2 roperty under the Specific Relief Act ? ae | No. The word “any person” can file a suit to recover possession mentioned in Section 6 mneans a person if he had “juridical” possession prior to_dispossession complained of Le, such possession as the [aw recognizes 10 be ‘possession’. Thus, a servant cannot sue his master under this Section, because, the possession ofa servant is a possession of the master, inthe eyes of law. = 48. Q.4: Answer the following (Any Four): Discuss with reference to essentials of a valid a) “A proposal is the starting point of a contract” proposal. b) State the sa consideration, no contract” ? ©) Discuss in brief the consideration and object of an agreement is regarded as immoral and opposed to publie policy ) What is a contingent contract ? Discuss the law relating to enforcement of contingent Jient features of Consideration. What are the exceptions to the rule “no contracts. ) What contracts ‘can’ and “cannot” be specifically enforced according to Specific Relief Act ? f) What are injunctions ? When are perpetual injunctions granted ? Differentiate between temporary injunctions and perpetual injunctions. [24] pril, 2015 (13.04.15)] With Solutions N.B.: (1) All questions are compulsory. (2) Figures to the right indicate full marks. Q. 1: Answer _in not more than Two sentences : = 20. a) What isan offer ? Answer : When one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of that other, to such act or abstinence , he is said t0 make a proposal. The term ‘proposal’ (in India) is called ‘offer’ under English law [S.2 (a) ofthe Indian Contract Act, 1872 b) What is coercion, as defined under the Indian Contract Act 1872 ? Answer : “Coercion” is committing, or threatening to commit, any act forbidden by the Inia Penal Code, or the unlawful detaining, or threatening to detain, any property, to the prejudise6l _—athe ere 3) Amar buys a tube of Beauty Skin Cream. The company ons je a se decd, eWhoever buys the eream and uses it 28 POE OTT ts using the i rd of fh but still has pimples shall be paid a rewar h araiaihy Amar sil a pimples on his face. He demands the reward money. hh ‘company but the company says that they have not poeta ere qa there j contract. Amar has filed a suit against the company for ret ‘What is general offer pest General offer is an offer which iso eno bea ted by the general publ ii) State with reasons whether A\ oon ‘Answer Amar would succeed in this case. becaus ‘advertisement, was the general offer. Hence, am member of the ela na offer made, accepts it, and therefore, there is a contract andi is bin rg. te oma Company in this case, is liable to pay the reward announce Company and. compensate Amar for the same. the offer given by the Comy b) A files a suit against B for declaration that he is entitled to receive Rs. 10,000/- from B, but he does not pray for recovery of the said amount from B. i) What is declaratory decree ? Lol tasale Answer : Ifany person is entitled o any legal character or any right as an property. may fileg suit against the person who denies or interested to deny his title to such character or right, ii) Can declaration be made in the above case ? Explain. . . ‘Daswer + No, since no Court shall make declaration, ifthe plaintiff being able to seek further relict than a mere declaration of title, omits to do so (je. here ‘A’ has failed to pray for the recovery of the sid amount) [Section 34 ofthe Specific Relief Act, 1963], ©) A purchases a steamer ticket. On the back of the ticket, a condition has been printed thatthe company will not be liable for loss or injury to the passenger or his luggage. On the face of the ticket, there was no indication that some conditions have been printed on the back of the ticket. The luggage of A is lost due to negligence of the erew member. i) What is ‘reasonable notice of terms’ under the Standard Form Agreements ? Ani cdized contract (like Company in its contract form) contains a large number of terms and conditions in fine print in small font size which excludes or restricts liability of the Company under the contract; But certain protective devices are involved by Courts to prevent ‘abuse upon individuals, One of such protective device is — Reasonable notice of terms. Reasonable notice should be given to individuals — It is the duty of the person delivering a document (ie, the Company in this case) to give adequate notice to the other party (je the passenger in this case) of the printed terms and conditions, otherwise the acceptor (i.e. passenger) will not be bound by the terms, Notice should be contemporaneous with contract (ie. existing with the contract). ii) Can the company be held liable for the loss ? ‘Answer : Yes, the Company will be held liable in this case, as on the face of the ticket, there was no indication that some conditions have been printed on the back of the ticket. And thus, there md reasonable notice given to the passenger Q. 4: Answer the following (Any Four) : = 48, a) “Acceptance to a proposal what a lighted match is to a train of gun powder” — Discuss and state the essentials of'a valid acceptance. ) Discuss the law relating to Wagering Agreements ©) Explain the provisions in the Indian Contract Act regarding Performance of Contracts. d) Briefly explain the various modes of Discharge of Contract. elState the rules regarding Sneg; Pecniance? 18 Specific: _f) Whatis Mandatory Injunction 2 t With Solutions NB: (1) All questions are compulsory, ae (2) Figures to the right indicate full marks, Q.1: Answer _in not more than Two sentences 20. a) Whatis the effect of conditional acceptance ? Answer : In order to convert proposal. into ‘promise’, DP itis necessary tha absolute and unconditional. Conditional acceptance is no ie an_agreement between them and it wil Pan il amount to a counter offer and not an acceptance of the b) Define ‘consideration’ under the Indian Contract Act. " Answer _: Section 2 (d) of the Act defines consideration as under — ‘When at the desire of the | i 7 7 7 j i Promisor. the promise or any other person has done or abstained from doing, or does or abstains from doing, or promises to do or abstains from doing something, such act or abstinence or promise is called consideration for the promise’ ©) Give two exceptions to the rule that ‘No Consideration no Contract’. Answer : An agreement is valid, if, 1) An agreement made on account of natural love and affection between parties standing in a near relation to each other, the contract without consideration is valid {S.25(1)]; 2) When promise is given to compensate a person who has already voluntarily done something for the promisor [S. 25 (2 d) State two examples of agreements which are opposed to public policy. Answer : 1) Con amounting to trading with an enemy, such as, purchasing goods from enemy without licence from the Government; 2) Contracts for stifling prosecution, as for instance, | when the relatives of a murdered person settle with the murderer, and agree not to prosecute the murderer — such agreements are void being against public policy. [Section 23 of the Contract Act). | ) State any two essentials for a valid tender of performance ‘Answer : Tender of performance — i) must be unconditional; fi)_ must be made at a proper time and place, and under such cir that the person to whom it is made may have a reasonable opportunity of ascertaining that the person by whom it is made is able and willing there and then, to do the whole of what he is bound by his promise to do [S. 38 of the LC. Act, 1872], f) What is Novation ? Answer : Section 62 of the Indian Contract Act ~ If the parties to the contract, agree to substitute a new contract for it or rescind or alter it, the original contract need not be performed. Novation takes place when the parties to act, substitute a c ntr g) When can special damages be granted ?h) assed, persons claiming through such parties and if any such party is a trustee, on the person fy whom if such persons were in existence at the date of such declaration, such a party where the contract is unlawful for causes not apparent on its face and the defendant is more to blame than the plaintiff —[S. 27 of the S.R. Act, 1963 | Q2 O38 a) A agreed to sell his car to B the worth of which Rs. 2,00,000/- for Rs. 20,000/-. A’s consent b) i) On whom is a Declaratory Decree binding ? J) When can one apply for Recession of Contract ? 230. Author = Pro of the Contract Act, In a case of a breach of contract, the ¢ Joss or damage caused to him which i) naturall fron breach of contract or which fi) which the parties knew to b breach of contract. Special loss or damage means the loss of profit suffered by d arty._It_can_be re only when special circumstances are_full committing the breach of contract. [Case Law : Hadley v/s. Baxendale] State two guidelines for granting specific performance as per Section 20 of the Specific Re Act. a Answer : In granting specific performance under Section 20, a Court has a discretic While exercising such discretionary power, the Court would be guided b the followi i) He who seeks equity must do equity; ii) He who comes to equity must come with clean Delay defeats equi Answer : Declaratory decree is binding on the parties to the suit in which the declarate ory deree was would be trustee. Answer :_A plaintiff can apply for a Rescission or termination or annulment or setting ask a contract, where the contra is voidable at the option of the plaintiff_or terminable by the plaintiff or + Write short notes on Any Four : a) Invitation to Offer. b) Immorality of Object ©) Clayton’s Rule 4) Anticipatory Breach of Contract €) Contracts which are specifically enforceable. f) Perpetual Injunctions. Solve Any Two with reason: the contract is freely given. Subsequently, A denied selling his car to B contending that consideration was inadequate, therefore, the agreement was void. i) What is free consent ? Answer : A consent is said to be free, when it is misrepresentation and mistake, [Section 14 of the Ini ii) Will A succeed in the above case ? Answer : No, A cannot succeed in the above case if B proves that the consent given. free consent, and the consideration need not be adequate if there is a free consent, used by coercion, undue influent ‘ontract Act, 1872 A wants to sell his motorcycle. He sends an offer letter to B on Monday. The letter on Tuesday. On Thursday, B posts a letter accepting the offer. This acceptance letter A on Saturday. On Friday A has posted a letter to B revoking the offer : i) Is the revocation of the offer by A, valid ? Answer : No, the revocation of offer/proposal by A on Friday that is after Thursday posted a letter of acceptance is not valid. Because, the communication of acceptance is232. tered into during ‘eo by givi c) When is consent said to be free ? ion, undue influence, frau Answer : A consent is said to be free, when it is not ae eel e721 misrepresentation and mistake, [Section 14 of the Indian Com Oe ati ent ent d) Can a minor person on attaining the age of majority ra ify an agreem tract, thus, a contract his minority ? thecal “Ansner's No, Singe ratification relates back tothe date of making of which was then void cannot be made valid by subsequent ratification. ) What is a Contingent Contract ? if any event [Answer + Seetion 31 A contingent contract is a contract to do or not to do anything, collateral to such contract does or does not happen. 1) Give two exceptions to an agreement in restraint of legal proceedings. ‘Answer : Exceptions : i) Contract to refer to arbitration dispute that may arise. uestions to arbitration that has already arisen, [Section 28 of the Contract Act]. ii) Contract to refer g) What is coercion as defined under the Contract Act ? = ‘Answer : Under Section 15 ‘coercion’ is the committing or threatening to_commit_any_act forbidden by IPC or the unlawful or threatening to detain any property to the prejudice of any person, whatever, with intention of causing any person to enter into an agreement. h) What is temporary injunction ? Answer : Temporary injunctions are such further order of the Court, and they may be granted at any stage of a suit and are regulated by the | Procedure Code, 1973. as are to continue until a specific time or until the i) Under what circumstances can a court order cancellation of an instrument i ‘Answer : Plaintiff must prove — i) that the instrument is void or voidable as against the plaintiff; fi) that if the instrument is left outstanding or uncancelled, it may cause injury to the plaintiff; and iii) the injury apprehended is serious [S. 31 of the Specific Relief Act, 1963 j) Whatis trust, as defined under the Specific Relief Act ? Answer : Under Section 2 of the Specific Relief Act, 1963, the term “tn ‘same meaning as given in Section 3 of the Indian Trusts Act, 188: = The term “trustee” is defined to include every person holding property in trust. The person who reposes the confidence is called the author of the trust. The person who accepts the confidence reposed in him is 2 ” and “trustee” has the led the “t Q. 2: Write short notes on Any Four : 4) Time is the essence of contract. b) Consideration must be real but need not be adequate. ¢) Government Contracts. 4) Anticipatory breach of contract. e) Declaratory Decree. f) Recovery of possession of immovable propertyx _— 233. Author — Prof. Prakash K. Mokal. =12. Ravi agreed. However, compensation of the cost Q.3: Answer _the followin, iving reasons (Any Two) ; 4) Akash invited his frend Ravi for nse his house on Sunday. Ravi did not go for the dinner, Akash filed a case against Ravi for of the unconsumed food, i) What is ‘proposal’ proposal”. fi) State with reasons wh Answer : Akash would b) A, contracts with B to sell railway shares of a easily available in the market. Subse i) What is Specific Performance of C Answer : Specific performance me: promises. It means they Contract Act]. ii) Can B be granted a decre Answer : Yes, B will succ (Shares of a particular descri iption) is not an ordinary article of commere: | be‘easily obtainable in the market. Therefore, B can be grant of thi is contract, [Section 10 of the Specific Relief Act, 1963], ©) A purchased a lorry from B. B told Particular description. The shares are not ‘quently, A denies selling them to B. “ontract ? ans the parties to the contract must perform their respective ‘must do the particular acts agreed to be done by them [Section 37 of the * for specific performance of the above contract 2 ed in the above circumstances, ag the that the lorry is in good condition, however, 'g the first journey. When A complained about it, B of greed. In the second against B to revoke the contract, the consequence when the consent to an agreement is eaused by fraud ? Effect of fraud [S. 19] — Such an agreement is voidable at the j whose consent is obtained by fraud or misrepres A found ffered to journey the lorry Answer : tance of the person entation, may avoid the contract and file a suit for damages, if'any, suffered by him ii) Will A succeed in the above case ? Answer : Yes, A can set aside the contract and recover the damages, [Section 17 of the Contract Act Q. 4: Answer the following (Any Four) : =48, 4) All the contracts are agreements bu all the agreements are not contiacls” > DINOS ») Discuss the Doctrine of Frustration of Contract with the help of decided cases, 6) Define Void Agreements. State and explain briefly the agreements which are expressly declared void under the Indian Contract Act. 4) “Certain relations resembling those created by contract” ~ Discuss in the light of provisions of the Indian Contract Act, ©) When can an instrument be rectified ? Who can claim the remedy of rectfi fication ? 5 Discuss contracts which cannot be specifically enforced under the Specific Reliet Act, 1963When two or more perso, perform the promise 2 i + Sections 43 — _ perform the whole of the promise, : Write short notes 01 m Any Four ; a) Coercion, b) Privity of Contract, 6) Rules reyarding valid tender ot Perfomance 4) Consideration must be real but need not be adequate, 8) Recovery of Possession of Movable pe ’ 1) Discretion ofthe Court under Seaton har oe Specific Relief Act, 1963, Q.3: Answer the followin, iving reasons (Any Two) : =12. 2) Husband and wife hired a room . ; hotel. They paid one month’ occupying the room they read ang which was posted on the owner of the hotel will not be liable for the theft of the articles, unless they are handed to the Manager of the hotel. Due to negligence of the hotel staff, articles were stolen. i) What is ‘reasonable notice of terms’ in case of standard form agreements ? Answer + Standardized contract (like Company Fannie ¢stablishmen/Hotel_in its contract form) Contains a large number of terms and condi 3 itions in fine print in small font Size which excludes or estricts liability of the Compan under the Courts to prevent abi document (i.e. the Company in this case) to, Customer in this case) of t will not be bound by the ive adequate notice to the the printed terms and conditions, other terms. Notice should be other party (ie. the the acceptor (i.e. customer) contemporaneous with contract (ie. existing with !) Can the owner of the h ‘otel be held liable for the theft of the articles ? Answer : Yes, the owner of the hotel will be held liable in this case, Wall of the room may not be read by the customer, and therefore the the same. And thus, there no r. sonable notice given to the passenger. as the notice pasted on the Couple may not be aware of b) A’s dog was ing. He announced in a newspaper to pay Rs. 5,000/- bring back to him his lost dog. B without the knowledge of the above lost dog to A. Thereafter, B came to know about the reward and claime i) What i tance to a proposal ? ii) Wi id in the above circumstances ? , HOLto a definite person, but it is made to a world at large or offer o a eneral public “to anyone who Raa renee back to him his lost dog”, it can be accepted by the person who accepts it first, Meaning the person who first brings back the lost do; to anyone who would reward, brought the dit from A.Q.4: Answer the following (Any Four) : cash K. Mc ‘There is a tenancy dispute between them, A ‘c whole building is vacated. After the X bank. X bank has filed a case for recovery of possession. ©) X Bank is a tenant in the building of Taj Hotels. major fire breaks out at the Hotel building and th renovation, Taj Hotel refuses to give back possession to against Taj Hotels under Section 6 of the Specific Relief Act i) Will X bank succeed ? en Answer : Yes, under Section 5 and 6 of the Specific Relief Act, 1963. ii) What are the conditions to file a case under Section 6 for recovery of possession of immovable property ? : Answer : The word “any person” can file a suit to recover possession mentioned in Section 6 means a person if he had ‘juridical’ possession prior to dispossession complained of i.e. such sion_as the law recognizes to be ‘possession’. Even though there is a tenancy dispute between the Bank and the Taj Hotel, the bank, as a tenant, cannot be disposed without due process of Jaw. But a servant cannot sue his master under this Section, because, the possession of a servant is a possession of the master, in the eyes of law. = 48. a) Define Proposal. What are the characteristics of a valid proposal ? b) What is consideration to a contract ? What is the effect on the validity of a contract where the consideration is absent, inadequate and partly unlawful ? ©) What is fraud as defined under the Indian Contract Act ? “A mere silence as to fact is no fraud” — Discuss and state the circumstances when duty to speak arises. d) What is breach of contract ? Discuss the principles on which the court awards damages for the breach of contract. ©) Which contracts can be and cannot be specifically enforced according to the Specific Relief Act, 1963 ? f) Under what circumstances can a person sue for cancellation of an instrument ? How is cancellation of an instrument different from rectification of an instrument ? [28] [January 2017 (25.01.17)] With Solutions N.B.: (1) All questions are compulsory. (2) Figures to the right indicate full marks Q. 1: Answer the following (not more than Two sentences) : =20. a) When can a proposal be revoked ? Answer : A proposal can be revoked at any time before the communication of its acceptance is complete as against the proposer, but not thereafter, b) Define consideration under the Indian Contract Act n 2 (d) of the Indian Contract Act defines leration’ as — “When at the desire of the promisor, the promise or any other person has done or abstained from doing, or does of abstains from doing, or promises to do or abstains from doing something, such act or abstinence or promise is called consideration for the promiwhen he makes it, he is capabl ae ing 2 i it as mistake of fact [Section 21 of the ILC. Act, 1872], 1) What is the effect of an agreement in restraint of marriage ? Answer : Every agreement in restraint of the marriage of any person, other than a minor is void [Section 26 of the Indian Contract Act, 1872) 8) What is the obligation of a person who has received any advantage under a contract which becomes void ? Answer : When a contract becomes void, any person who has received any advantage under such contract, is bound to restore it, or to make compensation for it, to the person from whom he received it, h) What is ‘trust’ as defined under the Specific Relief Act ? Answer : Under Section 2 of the Specific Relief Act, 1963, the term “trust” and “trustee” has the same meaning as given in Section 3 of the Indian Trusts Act, 1882. The term “trustee” is defined to include every person holding property in trust. The person who reposes the confidence is called the author of the trust, The person who accepts the confidence reposed in him is called the “trustee” i) What is the limitation period for filing suit under Section 6 of the Specific relief Act ? Answer : Under Section 6, if any person is disposed of immovable property, the suit must be brought within the period of six months from the date of dispossession J) Who can institute a suit to have the instrument rectified ? Answer : When through fraud or mutual mistake of the parties, a contract or other instrument in writing, does not express their real intention, then either party may institute a suit to have the instrument rectified [Section 26) Q.2: Write short notes on (Any Four =20. a) Government Contracts. b) Agreement in restraint of legal proceedings ©) Contingent Contracts. d) Agreement by way of wager €) Alternative relief in a suit for specific performance, f) Mandatory injunction. Q.3: Answer the following giving reasons (Any Two):b) } 4) ®) hy () All questions are compulsory, (2) Figures to the right indicate full marks, Answer the following in not more than Two sentences What is ‘promise’ as defined under the Indian Contract Act ? Anuar When -pason signifies His “willingness to do or abstain from doing anything, with a ie assent of that other, he is said to. make a proposal to that other person and when that other person unconditionally accepts the proposal made to him it becomes a promise =20. Who is competent to enter into contract ? Answer : Every person, who is of the age of majority according to the law he is subject and who is of sound mind, and is not disqualified from contracting by any law to which he is subject, is competent to enter into contract. What is free consent ? Answer : A consent is said to be free, when it is not caused by coercion, undue influence, fraud, misrepresentation and mistake. [Section 14 of the Indian Contract Act, 1872]. ‘What is the effect of mutual mistake of fact under the Indian Contract Act ? Answer : Where both the parties to an agreement are under a mistake as 10 a matter of fact essential to the agreement, the agreement is void. What is the effect of an agreement, the meaning of which is not certain ? ‘Answer : “Agreements, the meaning of which is not certain, or capable of being made certain, are void”. Agreements Void for Uncertainty [Ambiguous or Uncertain Contracts : (8.29) When two or more persons make a joint promise, whom can the promisee compel to perform the promise ? _ ‘Answer : Sections 43 — When two or more persons make a joint promise, the promisee may. in absence of express agreement to the contrary, compel any one or more of such joint promisors to perform the whole of the promise. What is the effect of negligence of promise to afford promisor reasonable facilities for the pargrmanes 2 fe easonable facilities for the pein s ects or refuses to afford the promisor re formance performance caused thereby. [Section 67: Se q he Specific Relief Act ee % aE ee ager revisions for the specific performance ofthe contract nswer : Under Section the the Act, x i ar i wo awards made under the Aitation and Conciliation Act. 1940 and Se A ‘will or codicil to execute a particular settlement also apply to directions in a will or codicil yromisor is eXCU illustrations}. What is mandatory injunction ?do a particular act to restore things to ‘ rer: Mandat tion is a former condition or to undo that which has been done. im 2 5) What is rescission of a contract? ee pateonuacimW beets voidable or terminable by the plaintiff for the want of his consent ‘obtained by fraud, etc. or when the contract is unlawful for the causes which are not apparent on its face. j) When can an instrument be rectified ? a 2 ‘Answer : When through fraud or mutual mistake of the parties, a contract or other instrument in ‘writing, does not express their real intention, then either party may institute a suit to have the instrument rectified [Section 26]. Q. 2: Write short notes on Any Four : a) Doctrine of fundamental breach of contract under Standard Form of Contracts. b) Agreement in restraint of trade. ©) Undue influence. d) Appropriation of payment. €) Recovery of possession of immovable property. ) Discretion as to decreeing specific performance. = 20. =12° Q.3: Answer _the following with reasons (Any Two) : a) ‘A’ purchased a steamer ticket. On the back of the ticket, condition has been printed that the company will not be liable for loss or injury to the passenger or his luggage. On the face of the ticket there was no indication that some conditions have been printed on the back of the ticket. The luggage of ‘A’ is lost due to negligence of the crew member. i) What is ‘reasonable notice of terms’ in case of standard form of agreements ? ‘Answer : Standardized contract (like Company in its contract form) contains a large number of terms and conditions in fine in small font size which excludes or ts liability of the Company under the contract; But certain protec devices are involved by Courts to prevent abuse upon individuals. One of such protective device is ~ Reasonable notice of terms. Reasonable notice should be given fo individuals — It is the duty of the person delivering a document (i.e. the Company in this case) to give adequate notice to the other party (ie. the passenger in this case) of the printed terms and conditions, otherwise the acceptor (i.e. passenger) will not be bound by the terms. Notice should be contemporaneous with contract (i.e. existing with the contract). ii) Can the company be held liable for the loss ? ‘Answer : Yes, the Company will be held liable in this case, as on the face of the ticket, there was ‘no indication that some conditions have been printed on the back of the ticket. And thus, there no reasonable notice given to the passenger. b) ‘A? accepts a Vakalatnama from ‘B’ in a certain suit. Later o ‘B’ promises that if the suit is decided in his favour then he will give Rs. 50,000/- extra as a reward over and above the fees already fixed. The suit is decided in favour of ‘B’, but ‘B’ refused to pay the amount of reward to ‘A’ i) What is ‘consideration’ as defined under the Indian Contract Act ? Answer : Section 2 (d) of the Indian Contract Act defines “Consideration” as under : “When at the desire of the promisor, the promisee or any other person has done or abstained from doing, or does or abstains from doing, or promises to do or abstains from doing something, such act or abstinence or promise is called consideration for the promise”. ii) Is “B’ bound to pay the amount of reward to ‘A’?241. Answer : No, “B” is not bound to pay the amount of re san Advocate, is bound 10 render h reward, “A” has given no consideration iven no consideration, Author — Prof. Prakash K. Mokal. ey :pting a Vakalatnama, 's_promise to give 9 ‘A’ and 2 contract to become Partners ina Specific business, The duration of partnership is not specified in that contract, i) What is specific performance of contract ? Answer + Specific performance of a contract means, the Datties to a co or offer to perform. their Fespective promises. ii) Can the above contract of partne Answer : Here, in this case, becomes “a partnership at will™ to another partner, tract must either perform, ship be specifically enforced ? when no duration of partnership is. sp uch a partnership can be dissolved by jed_in the contract, it partner by giving notice nswer_the following (Any Four) : 48. Define void agreement. State and explain briefly the agreements which are expressly declared void under the Indian Contract Act b) Discuss the law relating to wagering agreements, ¢) What is a contingent contract ? Dis the breach of contract. d) What is breach of contrac breach of contract ©) What is rescission of a contrac ) Under what circumstances uss the principles on which the court awards damages for 4 Discuss the principles on which the court awards damages for the t? When can rescission be adjudged or refused ? 'S can a court order for cancellation of an instrument > How is cancellation of an instrument differ nt from rectification of an instrument ? [30] , 2018 (31.01.18)] With Solutions NB.: (1) All questions are compulsory. 2) Figures to the right indicate full marks Q.1: Answer the following (not more than Two sentences) : 20. 4) What is an ‘Agreement? as defined under the Indian Contract Act? Answer : Offer or proposal made by the offeror or proposer_when accepted by the by the person to whom itis madi reement — Section 2 (b). 5) What is ‘Coercion’ as defined under the Indi n Contract we el Answer : [Dec.07; May,09; Apr.10; Apr. 11; Nov. 1; Apr.13; Apr 15; No amounts to fraud ? 4) Under what circumstances does * Auswer_: [Nov.09: Nov.10 9) What are the various ways of revoe ion of proposa iee 242, Author = Prof. Prakash K. Mokal. Answer : Proposal stands revoked by ~ 1) by notice before it i accepted; 2) by lapse oh on time limit prescribed in the proposal; 3) by failure of the fulfilment of condition on the part of the acceptor: 4) by death or insanity of the proposer; 5) by counter-offer. {What is the obligation of a person who has received any advantages under a contract, which becomes void ? Answer : [Nov.05; Déc.07; May,12: Jan.17 g) Whatare the obligations of a person enjoying th ‘Answer : The person enjoying the benefits out of itis bound to compensate the ps to him in respect of those benefits or restore the thing so delivered to him. h) What is discretionary power of the Court under Section 20 of the Specific Relief Act ? Answer : [Apr.08: Apr. 15; Nov.15 1c benefit of non-gratuitous act ? erson giving benefits i) What is ‘mandatory injunction’ ? ‘Answer : [Apr.06; May.07; Apr. 10; Apr.11; May,17|. i) What is the limitation period for filing suit under Section 6 of the Specific Relief Act ? Answer : [Dec.07: Jan.17 Q.2: Write short notes on [Any Four] : a) Government Contracts b) Past Consideration. ©) Agreement by way of wager. 4) Clayton’s Rules. e) Declaratory decree. f) Personal bars to relief under the Specific Relief Act. : Answer the following giving reasons [Any Two] : =12, a) ‘A’ agreed to purchase a horse from ‘B’ and further agreed to pay Rs. 1,000/- over and above the agreed price to ‘B’ if horse proves to be lucky to him. Thereafter, ‘A’ refused to buy the horse and ‘B’ filed suit against ‘A’ for breach of contract. i) Will ‘B’ succeed in the above case ? ii) What is the effect of an agreement, the meaning of which is not certain ? ‘Answer : Agreement, the meaning of which is not certain, or capable of being made certain, is void b) ‘A? was directed by the court to furnish the surety of Rs. 15,000/- under the Criminal Procedure Code, ‘A’ gave the said amount to ‘B’ and persuaded to him to become surety. After expiry of the period of surety the amount was reimbursed to ‘B’. ‘A’ asked ‘B? to return the said amount, however, ‘B’ refused to do so. i) What is a lawful consideration ? ‘Answer : Under Section 23 of the Indian Contract Act, 1872, the consideration is unlawful if the consideration or object of an agreement — a) is forbidden by law: or b) is of such a nature that, if permitted, it would defeat the provisions of any Jaw; or ¢) is fraudulent; or d) involves or implies injury to the person or property of another; or e) the Court regards it as immoral , or opposed to bblic policy, [See Q.P. January. 17 Will ‘A’ succeed in the above case ?) ‘A’ sells a field to «Br, personal knowledge but he conceals this f i) What is rescission of contract? st f°™ Answer_: Rescission of a contract co and the plainti abe eae oe Into existence when the contract is_voidable_or Answer : Yes. ‘B’ can get the contract tescinded. When ‘B’; 2n “B's consent was caused by fraud ot mutual mistake, he ean get the contract rescinded, a : Q.4: Answer the following [Any Four] : a) What is consideration to a cont consideration is absent, inadeq b) What is ‘Contingent’ contract ? Discuss the law Telating to enforcement of contingent contracts. Discuss the doctrine of frustration of contract with the help of decided cases, What is breach of contract ? Discuss the principles on which the Court anagds damages for the breach of contract Discuss the law relating to cancellation of instruments under the Specific Relief Act. ‘What are the different types of injunctions under the Specific Relief Act ? When ean perpetual injunction be granted ? There is right of Passage over the field of which ‘A’ has direct “B’ when asked. Tact ? What is the effect of the validity ofa contract where the juate and partly unlawful ? With Solutions Please check whether you have got the right question paper. All questions are compulsory 2. Figures to the right indicate full-marks. 3. Cite relevant Case law wherever required Q.1: Answer the following [not more than Two sentences] : a) Give two examples of Invitation to Offer. Answer : [Dec.14; Dec.16) A unter offer ? - ayaa ithe Se offer the origina] ofer tnd eestor lapse and te seria Cea rae ered w make ax oft (is. aes offer which ma making the cou s Tejected by the person making the original offer. contract? ©) At what age does a person becomes competent fo contract Answer : [Apr.13; Apr.14; Dec. 14i rm Author = Prof. Prakash K. a) What is the doctrine of privity to contract ? Answer : [Apr.06; May,07]. ©) State the exceptions to agreements in restraint of legal proceedings. Answer : Nov.16; Dec.16) f) Mention any two essentials of a valid tender of performance. Answer : [Dec. 14; Nov. 15], 8) Give two grounds in which injunctions cannot be granted. Answer : An injunction cannot be granted for the purposes — a) to restrain any person from applying to any legislative body: b) to restrain any person from instituting or prosecuting an: proceeding in a criminal matter. h) Name any two parties who are bound by a declaratory decree. Answer : [May.09; Nov.10; Nov.15 i) Mention any two guidelines in Section 20 regarding discretion of the Court to grant specific performance. Answer : [Apr.08; Apr. 15; Nov.15 J) State two instances in which Court shall not allow rescission of contracts. Answer ; 1) Where the plaintiff has expressly or impliedly ratified the contract; or 2) Where only a part of the contract is sought to be rescinded and such part is not severable from the rest of the contract, Q. 2: Write short notes on Any Four : =20. a) Unsoundness of Mind. b) Exceptions to “No Consideration No Contract” ©) Immorality of Object. d) Agreements in Restraint of Trade. €) Rectification of Instruments ) Distinction between Perpetual and Temporary Injunctions. Q. 3: Solve Any Two [With reasons] : = 12: 4) Chhotu, 16 years old boy, lied that he is 19 years old and took a loan of rupees ten thousand from Ramu, a money lender. Can Ramu recover the money stating that he had lent the money on the basis of the lies of Chotu ? Answer = Under Section of the Indian Contract, 1872, a minor i therefore, a contract by a minor or with a minor is void-ab-initio. Such an agreement is not an agreement in the eyes of Jaw. Thus, Ramu has no right to recover the mone hhotu who lied to him about his age, Ramu recover the money after Chhotu completes 18 years of age ? Answer : No, Ramu cannot recover the money even after Chhotu completes 18 years of, age. hot _competent to contract, y lent to the minor, b) ‘A’ sends a proposal letter to “B’ on Monday which reaches ‘B? “B’ posts his acceptance to ‘A’ which reaches ‘A’ on Saturday has sent a telegram revoking the offe i) What is the validity of the revocatior on Tuesday. On Wednesday, However, on Thursday ‘A?245, Author = Prof. Prakash K. Mokal. Answer #4 propos aes ae pone be revoked at any time before the communication of its acceptance is ine bee eesor_but not afterwards ~ Section 5. Here, *A” may revoke his Proposal at any time before ‘B* posts his letter of acceptance to ‘A’, but not afterwards. Therefore. his letter of acceptance on Wednesday, thereafter on Thursday *A’ by mot revoke his offer. It is not a valid revocation of an offer. arious ways in which an offer may lapse ? Answer : Proposal stands revoked or lapsed by — 1) by notice before it is accepted: 2) by lapse of reasonable time limit Drescribed in the proposal; 3) by failure of the fulfilment of condition on the Part of the acceptor: 4) by death or insanity of the Proposer; 5) by counter-offer. ©) Bala goes out of India for a month. He gives Somu for safe keeping a vase which he has inherited from his grandfather. In the absence of Bala, Somu has illegally built a wall outside the entrance of Bala’s house thereby obstructing the flow of air and light to Bala’s house. Somu also refuses to return the vase but offers to pay for it which he has. i) What is Bala’s remedy in case of the vase ? Answer: In this case, Bala can ask for the specific performance of the contract ie. to ask Somu to return the vase to him by filing a suit for specific performance. because, the compensation in terms would not afford adequate relief to Bala. ii) ‘at is Bala’s remedy in case of the wall obstructing his entrance ? Answer : Bala can file suit for claiming mandatory injunction against Somu, And the Court may compel Somu to ret e th 1o Bala’s property Q.4: Answer in detail [Any Four]: =48. a) Define Proposal. What are the essentials of a valid proposal > b) Explain about free consent ©) Explain briefly the various modes of discharge of contract 4) Discuss the recovery of possession of Immovable Property under the Specific Relief Act. €) Discuss in detail what contracts can and cannot be specifically performed under Sections 10 and 14 of the Specific Relief Act ) Write about the standard form of contracts and the safe clauses. wards provided [32] [February, 2019 (04.02.19)] With Solutions Please check whether you have got the right questi 1. All the questions are compulsory 2. Figures to the right indicate full marks. paper. NB. Q.1: Answer the following [in not more than Two sentences : =20, 8) What is meant by void agreement ? cans an agreemer ther create any rights in the parties nor impose + Void agreements means an agreements which neithe Ww ies nor Answer : Void agi athens cin any obligations on the parties to the agreement. They are not contracts in the enforceable at law. Following agreements are considered as void under the Indian Contract Act, 1872 = 1) If consideration and objects of the agreement unlawful — S. 24; 2) An agreement without consideration,)) State any two essentials of valid tender of contract. , Answer : Tender of performance i) must be unconditional; i) must be made ata proper time-and place, and under such circumstances that the person to whom it is made may have a reasonable opportunity of ining that the person by whom it is made is able and willing there and then, to do the whole. what he is bound by his promise to do — Section 38 of the Indian Contract Act, 1872 (Dec.14: Nov.15; Tune,18) c) Whats the effect of an uncertain agreement ? . rua Answer : Agreement, the meaning of which is not certain, or capable of being made certain, is void — Agreement void for uncertainty — ambiguous or uncertain contracts are void. [May.17]. 4) Give any two examples of invitation to offer. Answer : i) Catalogue of prices of books or goods kept in the shop; invitation for tenders. [Dec.14; June,18 Advertisement of tenders — an ) What is the doctrine of privity to contract ? ‘Answer : Under English Law, only a person who is a party to the contract can sue on it, a stranger to the contract cannot. TI known as privity of contract [Apr.06; May,07; June,18}. f) Who are competent to enter into contract ? ‘Answer : Every person who is of the age of majority according to the law he is subject and who is of sound mind, and is not disqualified from contracting by any law to which he is subject, can enter into contract — Section 11 of the Indian Contract Act, 1872 [Apr.13; Apr.14; Dec.14; May,17; June,18}. 2) Who can sue for specific performance under the Specific Relief Act, 1963 ? ‘Answer : Under Section 14 of the Act — Any party, representative in interest or principal, reversioner in possession, reversioner in remainder, company, promoters of company, any person beneficiary thereunder in a contract of settlement of marriage, etc. can sue for specific performance [Nov.08; May.09: Apr.11: Dec.12: Apr.13; Apr.14) h) Which instrument can be partially cancelled ? ‘Answer : Where an instrument is evidence of different rights or different obligations, the Court may, ina proper case, cancel it in part and allow it to stand for the residue — S. 32 of the Specific Relief Act, 1963]. i) What are the limitations of Court on right of rescission ? ‘Answer : The plaintiff has got right to rescind the contract. But the limitations on this right are that the Court shall not allow rescission of contracts — 1) where the plaintiff has expressly or impliedly ratified the contract, of 2) where only a part of the contract is sought to be rescinded and such part is not severable from the rest of the contract ~ Section 27 of the Specific Relief Act, 1963 [June,18] j) Under Section 6 of the Specific Relief Act, a suit cannot be instituted against whom ? ‘Answer : No suit under Section 6 shall be brought a) after the expiry of six months from the date of dispossession; or b) against the Government. Q.2: Write Short Notes on [Any Four] : =20, ‘a) Contingent Contracts. b) Agreement by way of wager. ©) Liquidated damages and penalty. d) Declaratory Decree. e) Defenses to an action for specific performance, f) Devolution of Joint Liabilities.247, Author — Prof. Prakash K. Mokal. Q.3: Answer the following by iving reasons : sells a field to ‘BY. There is ri knowledge but he cone i) What is rescission of coi Answer : Rescission mean voidable or terminable by _=12, a) ight of veals this fact from tract ? Passage over the field of which ‘A’ has direct personal “B’ when asked. ee ee 7 annulment of a contract b the Court. When the contract is Ue Plaintiff for the want of his consent obtained by fraud, etc. or when the sper aes unlawful for the causes which are not apparent on ils fave rl hese is more to blame E Section 27 of the Specific Relief Act, 1963. ) Can “B” get the contract rescinded ? Answer : Yes, in this case *B? fan get the contract rescinded. As ‘B’s consent was caused by fraud or mutual mistake, he can get the contract rescinded, b) ‘A? purchases a steamer ticket. On the b: IM ick of the ticket, a condition has been printed that the Company will not be liable for loss or injury to the passenger or his luggage. On the face of the ticket, there was no indication that some conditions have been printed on the back of the ticket. Due to negligence of the crew member “A° lost his luggage, ') What is ‘reasonable notice of terms’ under Standard Form Agreements’ ? Answer _; [tis the duty of the person delivering a document (ie, the company in this case) to give adequate notice to the offeree (ie. the passenger ‘A’ in this case) of the printed terms and conditions. and where it is not done, the acceptor (ie. the passenger “A’) is not bound by the’ terms. Notice should be contemporaneous with contract (i.e. existing with the contract), ii) Can the company be held liable for the loss ? Answer: Yes, the steamer company will be held liable in this case for the loss of the luggage of ‘A’. as the conditions were printed on the back of the ticket may not be read by the passenger, and therefore. the Dassenger may not be aware of the same. And thus, there was no reasonable notice given to the passenger. ©) A’s son was n the newspaper to pay Rs. 5,00,000/- to anyone who would bring back to him his lost son, *B’ without the knowledge of the above reward brought the lost son to “A”. Thereafter *B’ came to know about the reward and claimed it from ‘A’. i) What is acceptance to a proposal ? Answer : When the person to whom the proposal/offer is made, signifies his assent thereto, the proposal is said to be accepted. 1) Will “B’ succeed in the above circumstances ? Answer : Yes, “B’ can succeed in the above circumstances. Here, in this case, the proposal is made not to who would bring back to him his lost son”, it can be accepted by the person who accepts it first, meaning Q.4:: Answer the following |Any Four] : ma 8) What is breach of contract? Discuss the priniples based on which the Court awards damages for the breach of contract. b) Explain briefly the various modes of discharge of contract, e) “Certain relations between parties resembling those of a contact” ~ Discuss in the Tight of provisions of the Indian Contract Act. d) What are the essential elements of a valid contract? ¢) Dis an for recovery of possession of immovable property. f) What is perpetual injunction ? When can Court refuse to grant an injunction ?Author = Prof. Prakash K. Mokal. 1on denying, or interested to deny his tile to such character or right, and the Court may init ‘ff need not in such sit ask for discretion make therein a declaration that he is so entitled, and the plainti any further relief”, ii) Can declaration be ordered in the above case ? Give reasons. 250. ‘Answer : No, since no Court shall make declaration, if the plaintiff (i.e, Ram) being able to seek further relief than a mere declaration of title, omits to do so [Section 34 of the Act]. Q. 4: Answer the following [Any Four] : = 48. 1) Define proposal, What are the essentials of a valid proposal ? b) “Certain relations resembling those of contract” — Explain. e) When contract is said to be induced by fraud ? When duty to speak arises ? d) Discuss about the doctrine of frustration, What are specific grounds of frustration ? e) What i rescission of contract ? When rescission can be ordered by the Court and what are the limitations on the right ? f) Discuss the law relating to cancellation of instruments under the Specific Relief Act, 1963? [34] [December, 2019 (16.12.19)] With Solutions Please check whether you have got the right question paper. N.B.: 1. All the questions are compulsory 2, Figures to the right indicate full marks. 3. All questions have internal choice. Q. 1: Answer in not more than Two sentences : =20. a) In the definition of settlement given under the Specific Relief Act, name the two instruments which are excluded. Answer : [Nov.05; b) State the purpose the Specific Relief Act, 1963 for which it can be granted. ‘Answer + Specific relief can be granted only for the purpose of enforcing individual civil rights ‘and not for the mere purpose of enforcing a penal law ~ Section 4 of the Specific Relief Act 1963. 1.16; May, 17) ©) Who can file a suit for possession of movable propert ‘Answer : [Apr.06; Nov.11; May,19) 4) When can a cancellation of instrument be ordered under the Specific Relief Act, 1963 ? 12; Nov.13; Apr.14; Apr.15; Apr.16]. ‘Answer : [Nov.08; Apr.10: Apr.11; Nov.11; Dee. ©) When is communication of acceptance is said to be complete ? “Answer : [Nov,05; Dec.07; Nov.08: May,12: Apr.15; Dec.16; f) Explain the rule relating to performance of reciprocal promises. ‘Answer : [Nov.08; Nov.10; Nov.11; Apr.13; Nov. 13: Dec.16; May, 17] cease Harvey vis. Facey. g) State the principle laid down in the lea! ———Eto be likely to result from the breach of it Park in thik = [Section 73 of the Indian Cor 1872}. b) Mr. Aman took go-down on rent from Mr. Aakash in the year 2010 at a monthly rent of Rs. 50,000/- per month for a period of five years. Mr. Aman defaulted in making payment of rent after one year. While Aman was on business trip, Aakash came with his four friends and broke the Jock and put his own lock thereby pressurising Aman to make the payment, Aman returned from USA in October, 2019, and when he contacted Aakash, he refused to open the lock as he has defaulted in making payment of rent. i) What remedy Aakash has in the above case? Answer : Aakash can recover the unpaid rent from the Mr. Aman, Under Section 5 of the Specific Relief Act, 1963, he may recover the possession of the go-down in the manner provided by the Civil Procedure Code. fi) What remedy Aman has in the above case ? Answer ; Aman may file a suit for recovery of possession within a period of six months after he coming from the business trip under Section 6 of the Specific Relief Act, 1963, (.e.a_suit by a person disposed of immovable property). A wants to sell his office furniture, He puts the same on OLX and writes the price against the same. Mr. B who likes the furniture calls Mr. A and inquires more details. A informs him that the Price is not negotiable. B agrees to the price but requests AA to deliver the furniture. A refuses to do the same. After few days, while the furniture is still on display for sale on OLX, B approaches A again and says that he is willing to buy at the same terms. A refuses to sell to B. B wants to sue A. 1) Advise B. Can he file a suit against A for refusing to sell the furniture subsequently to B ? Answer : B cannot file a suit against A for refusing to sell the furniture. 2) On what principle is the situation based and which is the leading case law highlighting the principle ? Answer : The principle laid down by the Judicial Committee of the Privy Council is that there is no concluded contract between the parties and it amounts to merely an “invitation to an offer”. Q.4: Attempt Any ions fr followi = 48, 1) “There are certain relations resembling to those of Contracts” — Es 2) What is meant by Temporary and Permanent injunction ? Discuss the circumstances under Which injunction can be granted. 3) Discuss the rules related to following a) Devolution of Joint Liabilities. b) Appropriation of Payments. 4) Explain Void Agreements. Discuss “Agreement in Restraint of Trade” and “Agreement in Restraint of Legal Proceedings?. 5) Explain the difference between Wagering Agreements and Contingent Contracts. Discuss the tules relating to Contingent Contract as given in the Indian Contract Act, 1872 Discuss the provisions related to Rescission of Contracts under the Specific Relief Act, 1963,UNIVERSITY EXAMINATION QUESTION PAPER Revised Course According to New Question Paper Pattern For Three Year’s 1 Year = 60 Marks Question Paper Question Papers [35] to [37] Time : 3 Hours [35] 2020 (10.02.2020) With Solutions Please check whether you have got the right question paper. NB. : 1. All the questions are compulsory 2. Figures to the right indicate full marks. | Q. 1: Answer the following in not more than Two sentences [Any Six] : =12. a) Define acceptance. | | Answer_: “When the person to whom the proposal is made, signifies his assent thereto, the Proposal is said to be accepted”. [Section 2 (b) b) What is meant by general offer ? Answer : When a proposal or offer is made to a world at large (ive. general public) and not a definite person or specific person, it is said to be a general offer. In such a case, offer can be i accepted by any person and it can be accepted by the person who accepts it ©) Who can enter into a contract ? Answer : [Apr.14; Dec.14; May.17; June,18; Feb.19} d) When silence amounts to fraud ? Answer : [Nov.09; Nov.10; January, 18 ©) What are the exceptions to agreements in restraint of legal proceedings ? Answer : [Apr.16; Dec.16; June,18 f) When the contract is void due to inadequate consideration ? Answer : [Nov. 10} sue for rectification of instrument ? . \eten May. 07; Dec.07; Nov.13; Dec.14; Dec.16; January,17; May,17; May, 19)254. juthor — Prof. movable property can be filed ? h) Within how much time a suit for recovery of possession of imi brought within six months nswer : The suit for recovery of immovable property must the date of dispossession. i) When declaratory decree can be ordered by the Court ? Answer : [Apr.06; Dec. 14 j) On what grounds an instrument can be orderes Answer : [Nov.08; Apr.10; Apr. 11; Nov.11; Dee. .d to be cancelled ? 12; Nov.13; Apr.14: Apr.15; Apr.16]. Q.2: Write short notes on Any Two : a) Clayton’s rules of appropriation. b) Doctrine of reasonable notice. ) Rectification of Instruments. d) Recovery of possession of movable property =12. Q.3: Answer the following giving reasons {Any Two] : ‘a) ‘X* entered into a contract with *Y” that °X” will marry ‘Z’ Later *X" refused to marry °2'. "X° ‘was sued by ‘Z’ for damages. i) Whether ‘Z” succeeds in her suit ? Give reasons. ‘Answer : No, ‘Z’ cannot succeed in her suit against X'. Because, *Z” ‘ontract, and therefore, she cannot sue on the contract under Section What is meant by “privity of contract” ? “Answer + Itmeans that the parties to the contract are liable by the terms of the contract, thus. there is.a privity of contract between them. The principle of “privity of contract” means-a party to he Conitact alone can sue upon it, and the stranger to the contract cannot sue on the contract. “A ) stranger to the consideration may sue, buta stranger to the contract cannot hase 100 tons of potatoes from James. However, James Fernandez sued James for breach of is the stranger to the ) Fernandez entered into a contract to pur could not supply the agreed quantity due to crop failure. contract claiming damages. i) Whether Fernandez will su ‘Answer : No, Femandez. wi agreed to be performed) the cont ‘What is meant by impossil ‘Answer : Under Section 56 clause becomes impossible, or, by reason void when the act becomes impossible ofa season in the theatre. On 4" day she remained absent and of Later theatre Manager sued Rose for breach of contract claiming cceed in his suit ? Give reasons. ‘not succeed in his suit, Because, due to crop failure (i.e, the act yy of performance ? (2).“:A contract to do the act which, after the contract is made of some event which the promisor could not prevent, becomes c) Rose agreed to sing for six days si day she was allowed to sing. day. ‘damages as she did not sing on 4” day : ‘vill succeed in his suit ? Give reasons. i) Whether theatre Manager yrager will succeed in his suit, He is at liberty to put an end to the ‘Answer : Yes, the theatre Ma Anat renase the effec of refusal or falure to. sing results in the anticipatory breach of Contract ~ Section 39 of the Indian Contract Act 1872. ii) What is meant by breach of contract? ‘Answer : Breach of contract means failure to perform romise wholly by the party to the contract. d) ‘A’ entered into a contract to sell his house to ‘B’. ‘A’ refused to execute the sale deed and ‘B’ Bee tert cine performance of the contract However, “A’ conteadéd that Be Rating alternative residence and he cannot perform the contract,Author Prof, Prakash K. Mokal. i) Whether ‘B? will succeed to et the relief of specific performance ? Give reasons. Answer Yes, “B’ may compel ‘A" specifically to perform this contract Le. to handover the Possession of the house, as in this case, the compensation in terms of money for its non- perfomance ‘would not afford adequate relief ~ Explanation to Section 10 of the Specific Relief ii) Write about discretion of court in granting the relief of specific performance ? Answer : The jurisdiction to decree specific performance is discretionary, and the Court is not bound to grant such relief, merely because, it is lawful to do so; but the discretion of the Court is ot arbitrary but_sound and reasonable, guided by judicial principles and capable of correction by acourt of appeal, Q.4: Answer the following [Any Two] : =24. a) “All contracts are agreements but all agreements are not contracts” — Explain, b) Agreements of wager are void — Explain. ©) Write about discharge of contract by impossibility of performance and specific grounds of frustration. ) When rescission can be ordered by the Court ? What are the limitations on the right of rescission ? [36] May, 2020 K. T. Exam. Cancelled] University guidelines for Online MCQ Pattern Examination — In a Writ Petition filed by the University Grant Commission of India against the decision of the State Government of Maharashtra and University of Mumbai, the Supreme Court directed the University of Mumbai to conduct Exams for the Final year Vith Sem. Exam. in the month of October, 2020. 1, In view of the said order of the Supreme Court, University of Mumbai issued guidelines on 8 September, 2020 for organization of Final Semester/Year students for Mumbai University’s Academic Year 2019-2020 and their various backlog exams. 2. For proper organization of examinations, the University has prepared streamwise clusters of colleges and one college in each cluster as the lead college has to carry out the responsibility of planning the examination as determined by the University. 3, The schedule of online theory examination should be prepared by the lead college in consultation with the colleges in the cluster in such a way that the examination of all the colleges in the cluster will be conducted at the same time and all colleges should bring this schedule to the notice of the students, University also directed that all theory exams should be completed by 17 October, 2020. 4 4, All final term theory exams should be conducted based on the syllabus taught in the college till 13 March, 2020. eo 5. All theory examinations will be conducted online with Multiple Choice Questions as decided by the University Authority. 6. All online ey care will be conducted for a period of one hour for 50 marks. These 50 marks will then be converted into the 75/80/100 marks as prescribed by each subject. MCQ format will not _be cligible for revaluation. 7. As the theory examination is conducted in the form of Multiple Choice Questions, each college should inform its students that Revaluation cannot be facilitated.256. Author = Prof. Prakash K. Mokal, 8.Under the guidance of the Dean of the University, Associate Dean and Principal of Lead Colleges, a Question Bank will be prepared for each subject (Marathi/English medium as per the required medium) with the help of the college teachers and with the help of technology Multiple Choice Question Paper Sets. will be made available for the examination. 9. In order to facilitate smooth conduct of the exams and enable the students to solve Objective or Multiple Choice Questions, thie University of Mumbai has provided sample Question Papers With Solutions for Three Year Course Vith Sem. & Five Year Course Xth Sem, Exam. to be held in the month of October, 2020, It may be noted that the respective colleges in the cluster has conducted their KT and Regular Exams in the month of October, 2020 and set the Question paper considering the Syllabus completed by their Professors, Accordingly, the Question Paper consisted of 25 Questions for 100 Marks within the given time of One hour (20 MCQ’s each for 4 Marks = 80 Marks & 5 Single Sentence Answers or Descriptive Answers for 4 Marks each = 20). University of Mumbai has directed respective colleges to assign 40 Marks to their students on the basis of their tutorials and journals completed by them or their performance in the practical exams held in the college. University of Mumbai has set the Question Paper for remaining 60 Marks and this Question Paper consisted of 40 Questions for 60 Marks within the given time of One and_ half hour (30 MCQ's each for 1 Mark = 30 Marks & 10 Descriptive Question each for 3 Marks = 30 Marks). 37] [October, 2020 Online Regular Exam] Marks : 50. N.B.: Due to COVID 19 pandemic, the Exam was conducted Online by the respective cluster colleges on the basis of the University guidelines given above. It may be noted that all the MCO’s appeared in this Exam are included in the present Book on “Contract ~ I”. The Sample MCQ's provided by the Online Exam are as follows — Contract - | (The Indian Contract Act, 1872 Sections 1 to 123) 1. Concept of agreement is ... than the concept of contract. a) narrower. b) wider. ) smaller. d) not different. . “Ex nudo pacto non oritur actio” is related with a) Offer. b) Acceptance. c) Promise. d) Consideration. Section 2 (b) of the Indian Contract Act, 1872 defines a) Acceptance. b) Promise. ¢) Consideration. 4) Offer.