Law Legal Studies

Property and Trust Law

1,863 Questions

Property and trust law covers ownership rights, leases, adverse possession, and the transfer of assets. These legal principles are fundamental for judiciary exams, UPSC, and state PSCs. Practice these questions to understand property rights and related legal procedures thoroughly.

Adverse possession principlesFee simple absolute ownershipMesne profits legal codeHOA community regulationsReal estate appraisal rules

Property and Trust Law Questions

Multiple choice

Can a mortgagor make a lease of a mortgaged property?

  1. Yes, with no conditions at all.

  2. Yes, with certain conditions provided by the Transfer of Property Act.

  3. No

  4. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Option (2) is correct: A mortgagor can make a lease of a mortgaged property with certain conditions provided by the Transfer of Property Act.

Multiple choice

Which one of the following is correct? 1. Succession refers to transmission of office 2. Inheritance refers to transmission of office 3. Succession refers to transmission of property Select the correct answer using the code given below:

  1. 1 only

  2. 2 only

  3. 3 only

  4. None of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Succession refers to the transmission of an office or position, whereas inheritance refers to the transmission of property or assets.

Multiple choice

Easement is a right in

  1. rem

  2. personam

  3. rem, in general, but in personam, in exceptional cases

  4. Neither (1) nor (2)
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Option (1) is correct: Easement is a right in rem. It means right against the whole world.

Option (2) is incorrect: Easement is not a right in personam.

Option (3) is incorrect: No such provision. Option (4) is incorrect: Only (1) is correct.

 

Multiple choice

Transfer of Property Act, 1882 covers

  1. movable property

  2. immovable property

  3. both (1) and (2)

  4. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Transfer of Property Act, 1882 covers only immovable property. Movable property is covered under Sale of goods Act.

Multiple choice

Risk Prima Facie with property means

  1. the goods remain at the seller's risk until the property is transferred to buyer

  2. the goods are at buyer's risk whether or not the property is transferred to buyer

  3. the goods are at buyer's risk when the possession is transferred to buyer

  4. none of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

 Risk Prima Facie means that the goods are at seller's risk until the property is transferred to buyer. Any damage to the goods like loss by fire, theft etc. is to be borne by the seller untit the property of goods is transferred to buyer, so it is  the right answer.

Multiple choice

Directions: The following item consists of a stem followed by four words. One of the four words can be used as a substitute for the stem.

To take money for one’s own use in violation of a trust.

  1. Pilferage

  2. Robbery

  3. Extortion

  4. Embezzlement
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Here, embezzlement is the correct option. Pilferage is the act of stealing small quantities or articles. Robbery is the act of unlawfully taking the property of another by the use of violence or intimidation and extortion is the crime of obtaining money or some other thing of value by the abuse of one's office or authority.

Multiple choice

Karta can't alienate Joint Family Property

  1. for legal necessity

  2. for benefit of estate

  3. for donating in national interest.

  4. for making gift
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Karta can't alienate Joint Family Property for donating in national interest.

Multiple choice

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

All over India tenants from all walks of life and particularly bureaucrats and politicians have bought their rented premises from the owners for a pittance in distress sale. Who is the gainer? Only the treacherous tenants. If an inquiry is ordered in all such cases the Government can gain millions of rupees by correctly assessing the market price and then charge the transfer fees. These laws have created mind boggling black money in the shape of pagri. There is no need for any rent laws. No person should occupy or continue to occupy any premises without a proper agreement with the owner. Unauthorized occupation should be made a criminal offence just as bouncing of cheques has been made. The police should be given the powers as in the USA to throw out the belongings of a person who is an unauthorized occupant.

The passage is

  1. suggesting certain steps to be implemented to safeguard the property occupation

  2. talking about black money in property business

  3. focusing on the uncorrupt practices of tenants

  4. about the unauthorized occupation issue in India's real estate

  5. pointing out certain anomalies in Indian Tenancy laws
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

 The ideas given in options (4) and (5) have been discussed in the passage. But along with the problems, the author also makes certain suggestions which have been incorporated in option (1). This marks option (1) as correct.

Multiple choice

The widow could inherit her husband's property after his death only if

  1. she was entitled to inherit it by the will left by her deceased husband in her favour.

  2. she was pregnant at the time of her husband's death.

  3. she had no son

  4. her husband did not marry another woman in his lifetime.
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

In many classical legal texts, a widow's right to inherit was strictly limited; she was often only considered an heir if she had no son to perform the funeral rites, as the son was the primary heir.

Multiple choice

Smith asserted that property held-in-common that is, usable by every co-owner, would always be used less carefully than private property. Each owner would be inclined to overuse the property held-in-common because the gains would come to the individual alone, while the costs of maintenance that result from overuse would be spread among all co-owners. But a survey comparing 800 properties held-in-common with 1590 private properties showed that the properties held-in-common were in a better condition.

The answer to which of the following questions would be most useful in evaluating the significance, in relation to Smith’s claim, of the survey described above?

  1. Did any of the owners whose property was surveyed use both properties held-in-common and private properties?

  2. Did the owners whose property was surveyed tend to prefer using property held-in-common over using private property?

  3. Were the private properties that were surveyed of comparable quality to the properties held-in-common before either was put to use?

  4. Were the users of the properties held-in-common that were surveyed atleast as prosperous as the users of the private properties?

  5. Were there any co-owners of properties who used only properties held-in-common, and no private property?
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Smith’s assertion and the result of the survey seem to contradict each other. The two become comparable only when all the variables that could distort their respective results are held in check. Option (3) describes one such variable – the quality of the properties that were surveyed, before they were put to use. Hence option (3) is correct.

Multiple choice

Directions: Smith asserted that property held-in-common that is, usable by every co-owner, would always be used less carefully than private property. Each owner would be inclined to overuse the property held-in-common because the gains would come to the individual alone, while the costs of maintenance that result from overuse would be spread among all co-owners. But a survey comparing 800 properties held-in-common with 1590 private properties showed that the properties held-in-common were in a better condition.

Which of the following, if true, and known by the owners of properties, would best help explain the results of the survey?

  1. With private properties, both the costs and the benefits of overuse fall to the individual owner.

  2. The cost of maintenance that is allocated to any individual co-owner is less easily measured with property held-in-common than it is with private property.

  3. An individual co-owner who overuses property held-in-common might be able to achieve higher returns than other co-owners can, with the result that he or she would obtain a competitive advantage.

  4. If one co-owner of property held-in-common overuses it even slightly, the other co-owners are likely to do so even more, with the consequence that the maintenance costs to each co-owner outweigh the benefits.

  5. There are a larger number of private properties than there are properties held-in-common.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Since the co-owners knew that if one overuses the property held-in-common then it could affect all the co-owners, hence each co-owner used the property held-in-common sparingly which gave results stated in the survey. Hence option (4) is correct.

Multiple choice

According to the existing property tax law, if you had purchased your property 14 years ago for INR 5,00,000 your tax would be INR 12,100 a year (2 percent of INR 5,00,000 increased by 10 percent every five years); and if someone else purchased a similar property in your neighborhood for INR 30,00,000 this year, his tax would be INR 60, 000 (2 percent of INR 30,00,000). Without the existing property tax law, both you and your neighbor would pay INR 1,50, 000 a year in property taxes (5 percent of INR 30,00,000). Which of the following is the conclusion for which the author most likely is arguing in the passage above?

  1. Existing property tax law is unconstitutional because it charges an unequal property tax on properties of equal value.

  2. If existing property tax law is repealed, every property owner is likely to experience a significant hike in property taxes.

  3. By not linking property taxes with market value of the property, existing property tax law has saved property owners huge sums of money in property taxes.

  4. If existing property tax law is not repealed, properties with similar market value will continue to be taxed at different rates.

  5. Existing property tax law has benefited some property owners more than others.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The author asserts that whatever be the time when the property was bought, without the existing property tax law, the property tax payable would be considerably higher than what the outgo is with the law in existence. Option (2) states this very clearly. Hence option (2) is correct.