Multiple choice

A, intending to deceive B, falsely represents that five hundred tons of indigo is made annually at A's factory and thereby induces B to buy the factory. The contract is

  1. void

  2. voidable at the option of A

  3. voidable at the option of B

  4. illegal
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Option (1) is incorrect: It is not a void contract. Option (2) is incorrect: It is voidable only at the option of B. Option (3) is correct: If B doesn’t want to perform the contract, he can declare it to be void from the court. Option (4) is incorrect: It is not an illegal contract.

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