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PLUS

Legal Aptitude 02
Introduction to Legal Knowledge

Number of Questions : 10 CEX–9236/21-B

1. Principle: The doctrine of Precedent states 2. Principle: No court shall proceed with the
that the judgment of a higher appellate trial of any suit in which the matter in issue is
authority is binding on the lower courts. The directly and substantially in issue in a
judgment of one High Court will be binding previously instituted suit between the same
only on the lower courts within its jurisdiction. parties or their representatives.
The judgments of other High Courts will have
persuasive value on the lower courts. Facts: A and B are the only heirs of C, their
father. They are locked in litigation over the
Facts: Wali Dar filed an appeal in the Jammu issue of ownership of the house left intestate
and Kashmir High Court against the order of by their deceased father. A filed a suit before
the Srinagar District Court, situated at
the civil judge, Delhi seeking a declaration
Srinagar, Jammu and Kashmir. The main
that the ownership lies with him. While the
contention of the appellant was that the
matter was still pending, B instituted a fresh
Srinagar District Court inadvertently
suit before the same court seeking declaration
overlooked the judgment of the Punjab and
Haryana High Court on the issue, therefore from the court that the ownership lies with
the order of the District Court is bad in law as him. Decide upon the validity of institution of
it deviated from the doctrine of precedence. the suit by B?
The appellant further stated that the High Court
must follow the doctrine of precedence and (a) B can institute a fresh suit over the same
allow the appeal. The High Court declined to matter between the same parties even
give relief to the appellant and the appellant though the matter is in issue in a
moved to the Supreme Court with the same previously instituted suit.
prayer. Decide whether the doctrine of (b) B cannot institute a fresh suit over the
precedence has been violated? same matter as the matter is in issue in
a previously instituted suit.
(a) Both the District Court and the High Court (c) B can institute a fresh suit as the matter
of Jammu and Kashmir have violated the in issue is different. In the previous suit A
doctrine of precedence. is seeking a declaration to have himself
(b) Only the District Court has violated the declared as the owner and in the latter
doctrine of precedence. suit B is seeking a declaration to have
(c) Only the High court of Jammu and himself declared as owner.
Kashmir has violated the doctrine of (d) B cannot institute a fresh suit as the same
precedence. parties are involved in litigation over the
(d) Neither the District Court nor the High same issue in a previously instituted suit.
court of Jammu and Kashmir has violated
the doctrine of precedence.

Legal Aptitude – 2 Page 1


3. Principle: In India, a system of hierarchy of (a) The district court of Patiala does not
laws is followed and the laws/rules ranked possess the territorial jurisdiction to attach
lower in hierarchy must be in consonance with the properties.
the higher ranked laws. (b) The district court of Patiala does possess
the territorial jurisdiction to attach property
Facts: The Constitution of India vests the in Patiala.
power to make laws in the legislature, the (c) The district court of Patiala does possess
function of executing the laws to the executive the territorial jurisdiction to attach the
and the function of interpretation of laws in properties.
the judiciary. The legislature basically outlines (d) The district court of Patiala does not
the broad contours of the law and the function possess the territorial jurisdiction to attach
of laying down the details i.e. the rules, within property in Chandigarh as it a Union
those contours are delegated to the executive Territory.
by the legislature under the rule making power.
Thus: 5. Principle: A suit shall be filed in the court of
lowest grade competent to try it. It is generally
(a) In the Indian legal system, the the plaintiff's valuation in the plaint that
Constitution sits at the top of hierarchy of determines the jurisdiction.
laws followed by the rules formed by the
executive and then comes the laws made Facts: A suit for accounts was filed amounting
by the legislature. to Rs. 990. It was filed by X against Y in the
(b) In the Indian legal system, the rules made Court of Small Causes having pecuniary
by the legislature are ranked at top of the jurisdiction of maximum Rs. 1000. After
hierarchy followed by the law made by determination of the claims, the court finds
the legislature and then the Constitution. that on taking the accounts the amount due
(c) In the Indian legal system, the is Rs. 1600. Decide whether the court is
Constitution sits at the top of hierarchy of deprived of its jurisdiction to pass a decree
laws followed by the laws made by the for that amount?
Parliament and then the rules made by
the executive. (a) Since the amount due is higher than the
(d) In the Indian legal system; the pecuniary jurisdiction of the court, the
Constitution, the laws made by parliament court is deprived of its jurisdiction from
and the rules formed by the executive have passing a decree.
the same status. (b) The court is not deprived of its jurisdiction
from passing a decree because the matter
4. Principle: Every court has its local or falls under the pecuniary jurisdiction of the
territorial jurisdiction beyond which it cannot court.
exercise its jurisdiction. (c) The court can pass a decree but it must
be confirmed, on filing an application, by
Facts: A filed a suit for execution against B in the court which has appellate powers over
the District court of Patiala. The court passed the court passing the decree.
an order attaching properties of B in Patiala, (d) The court can pass a decree but it must
Ambala and Chandigarh in order to execute first seek directions from the court,
the decree. B challenged the attachment of wherein an appeal lies against the decree.
properties on the basis of lack of territorial
jurisdiction. Decide.

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6. Principle: A court cannot adjudicate upon a later, B files a suit against A, demanding the
subject-matter, which does not fall within its payment of money. A makes a contract with
province. A jurisdiction regarding subject B to pay the amount if B withdraws the suit.
matter is essential. Decide if A can avoid the payment of money
made under a contract to B and whether the
Facts: The Parliament passed a law transaction is hit by the law of limitation?
establishing the Real Estate Tribunal,
conferring exclusive jurisdiction for trial of suits (a) Yes, as a period of more than three years
relating to disputes between private real estate has passed from the date on which the
developers and purchasers. A, purchased a cause of action arose, therefore the
flat from Moja Developers. The possession of transaction is hit by limitation.
the flat was to be given in October, 2014 but (b) No, even though the suit may be hit by
the company missed the deadline. A filed a limitation but the contract is completely
suit in the city civil court. The city civil court valid making A, liable to pay.
passed a decree in favour of A. Decide upon (c) Yes, as a period of more than three years
the issue of the city civil court adjudicating has passed, no suit can be filed since
the matter and validity of the decree? the transaction is hit by limitation.
(d) No, as limitation does not apply to civil
(a) The city civil court had concurrent litigation.
jurisdiction along with the tribunal over the
matter as the law never stated that the 8. Principle: The principle of natural justice
jurisdiction of other competent courts is requires that no man must be condemned
ousted, therefore the court had jurisdiction unheard. In other words every person must
and the decree is valid. be given a fair opportunity of being heard
(b) The city civil court had no jurisdiction to before decision regarding him/her is made.
adjudicate the matter and the decree
rendered is a nullity. Explanation: In case a party is given a
(c) The city civil court had no jurisdiction, chance to present its case and such a party
however once it is seized with the matter; fails to appear then the court can file an ex-
the decree passed is a valid one. parte order.
(d) The city civil court had concurrent
jurisdiction with the real estate tribunal Facts: A filed a suit against B in the district
but the decree to be valid must be court for partition of the ancestral property.
confirmed by the real estate tribunal. The court issued summons to B to appear
before the court on a certain date. On the
7. Principle 1: The law of limitation bars only appointed date B did not appear before the
the remedy but does not extinguish the right. court. The court again summons to B to
A contract to pay time-barred debt is valid. appear before the court and B ignored again.
The court issued summons for the third time
Principle 2: Generally the period of limitation to B but he failed to appear. Consequently
is three years from the date on which the the court issued an ex-parte (without the
cause of action arose. presence of one party) order against him. The
order of the court was appealed in High Court
Facts: A owes certain mony to B under a on the ground that principles of natural justice
contract. The money having become due; B have been violated. Decide.
does not ask A for the money. Four years

Legal Aptitude – 2 Page 3


(a) The ex-parte order does not violate the the decree in the first place. The higher
principle of natural justice. courts merely confirmed the finding of the
(b) Passing an ex-parte order violates the district court.
principles of natural justice as the other (c) B has committed contempt of court, as
party is not heard. he willfully disobeyed the order of a court
(c) Only High Courts have the authority to and the contempt was committed in
pass an ex-parte order. relation to the order of the High Court where
(d) A party need not always be heard before the first appeal was preferred.
passing an order. (d) B has committed contempt of court, as
he willfully disobeyed the order of a court
9. Principle 1: Contempt of court refers to a and the contempt was committed in
deliberate act intended to lessen the authority relation to the order of the Supreme Court.
or dignity of a court, embarrass, hinder, or
obstruct the administration justice, or disobey
10. Principle 1: Mediation seeks to rebuild and
a court's lawful order.
repair a relationship through an impartial and
independent intermediary. Mediation is
Principle 2: The order of lower court against
informal and not usually legally binding.
which an appeal is preferred merges in the
order of the appellate court.
Principle 2: Arbitration is an out of court
Facts: A filed a suit against B seeking procedure which also involves an impartial
payment of money due under a contract, in third party, who is asked to make a decision.
the District Court of Delhi. The suit was The parties present evidence to the arbitrator,
decided against B, as the court allowed the who makes a decision that they have agreed
relief sought by A. B, filed an appeal against in advance to abide by.
the order in the High Court. The High Court
refused to disturb the findings of the lower Facts: A dispute arises between A and B. They
court. B preferred an appeal against the order come to a mutual agreement that they want
of the High Court in the Supreme Court and to avoid lengthy court litigation and under the
the Supreme Court dismissed B's appeal. B same agreement decide to refer the issue to
was unhappy about the order and when A C, an impartial third party. The third party
sought the implementation of the order, B makes a determination. The act of the third
refused to comply with the same. Decide party is within the scope of the agreement
whether B has committed contempt of court between the parties. On the basis of the facts
and if yes, against which court? given above, decide:

(a) B has not committed contempt of court (a) The parties were involved in Mediation.
as he was unhappy about the decision of (b) The parties were involved in Arbitration.
the court; therefore he has a valid (c) The act of A and B was illegal as they
justification to refuse implementation.
oust the jurisdiction of courts to settle
(b) B has committed contempt of court, as
disputes.
he willfully disobeyed the order of a court
(d) The parties were neither involved in
and the contempt is in reference to the
Arbitration nor Mediation.
order of district court, which has passed

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CEX–9236/21-B Legal Aptitude – 2 PLUS
Answers and Explanations
1 d 2 a 3 c 4 a 5 b 6 b 7 b 8 a 9 d 10 b

1. d The doctrine of precedence states that the judgment 6. b The principle clearly states that a court cannot
of the higher appellate authority is binding on the lower adjudicate upon a subject matter, which does not fall
courts. In this case, as regards the District Court of within its province. Further it holds subject matter
Srinagar, the higher appellate authority is Jammu and jurisdiction essential to adjudicate a dispute. In this
Kashmir High Court and since the order in question case, the Parliament confers upon the tribunals,
was passed by a different High Court other than the exclusive jurisdiction to deal with cases relating to
one which has appellate authority, the same is not real estate disputes. The use of the word exclusive
binding though it has persuasive value. As regards indicates that the jurisdiction of all other courts has
the Jammu and Kashmir High Court, since both the been ousted. Therefore the city civil court had no
High Courts are at the same level, the judgments of jurisdiction to adjudicate upon the matter. The principle
other high courts have persuasive value again. Thus further states that such jurisdiction is essential, thereby
the doctrine of precedence was not violated by either indicating that lack of such jurisdiction would render
of the courts. the decree a nullity. Therefore the city civil court had
no jurisdiction to adjudicate the matter and the decree
2. a The principle states that a court cannot proceed with
rendered is a nullity.
the trial of any suit in which the matter in issue is
directly and substantially in issue in a previously
instituted suit between the same parties or their 7. b Regardless of the fact that the suit is hit by limitation
representatives. Thus, the bar is only on the court to by virtue of Principle 2 yet a contract to pay time barred
proceed with the trial, there is no bar on the parties to debt is completely valid by virtue of Principle 3.
institute a new suit on the basis of the same issue.
Therefore the institution of the suit is valid, but the 8. a The principle of natural justice states that a party must
court cannot go ahead with the trial. be given fair opportunity of hearing. The principle of
natural justice requires opportunity must be given, it is
3. c The principle states that the Indian legal system follows not necessary that the party must be heard in any
hierarchy of laws. The facts clearly state that the case before passing an order. A party who forgoes
Constitution vests the power to make laws in the his opportunity cannot claim that his right of natural
legislature and legislature delegates the power to make justice has been violated. In the instant case, B was
rules to the executive. Therefore all power to make issued summons thrice before issuing an ex-parte
laws stem from the Constitution, therefore the order against him. Since he did not appear before the
Constitution is the supreme law. The power to make court, he cannot claim that the ex-parte order violates
rules is derived from the law making power of the his right of natural justice.
legislature, in other words the legislature outlines the
broad contours of the law and the executive makes 9. d In this case B has committed contempt of court as he
rules within those contours. Thus the rules are subject willfully disobeyed the order of the court by not
to the laws made by the legislature. Therefore in the implementing the order. The second principle states
hierarchy of laws, the Constitution takes precedence that if an appeal is preferred against an order of the
followed by the laws made by the legislature and then court, the order of the lower court merges in the order
comes the rules made by the executive. of the appellate court. In the instant case, an appeal
was preferred against the order of the lower court
4. a The principle clearly states that each court has its
local and territorial jurisdiction beyond which it cannot right up to Supreme Court, which is the highest
exercise jurisdiction. In this case, the territorial appellate authority. Once the Supreme Court passes
jurisdiction of the district court of Patiala extends over an order, the orders of the lower court are merged
Patiala, hence it has the power to attach properties in with the order of the Supreme Court. Therefore in this
Patiala only and nowhere else. case B has committed contempt of the order of the
Supreme Court.
5. b The principle clearly states that the pecuniary
jurisdiction is determined by the valuation presented 10. b In the instant case, the impartial third party makes a
by the plaintiff in the plaint. In this case, though the determination i.e. it comes to a decision and the facts
amount due as determined by the court is higher than suggest that the act of the third party was within the
its pecuniary jurisdiction, but the valuation presented scope of the agreement. Therefore the third party
by the plaintiff is within the pecuniary jurisdiction, was acting as an Arbitrator in the Arbitration.
therefore the court is competent to pass a decree.

Legal Aptitude – 2 Page 1

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