Law Legal Studies

Property and Trust Law

1,910 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 business organisation capital market money markets participants in money market types of markets

The money deposit made by the buyer to the seller of real estate during negotiation stage is known as ________________.

  1. Earnest Money Deposit

  2. Fixed Deposit

  3. Current Deposit

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

The money deposit made by the buyer to the seller of real estate during negotiation stage is known as Earnest Money Deposit. An earnest money deposit can be referred as a specific form of security deposit made in some major transaction. It is done by the applicant to show his willingness to complete the transaction.

Multiple choice organization of commerce and management joint hindu family business and cooperative society cooperative organisation features, organisation, advantages and disadvantages of cooperative organisation introduction to huf

Who has the power to transfer the joint property of HUF so as to bind the interest of both adult and minor coparceners?

  1. Son's of the HUF

  2. Daughters of the HUF

  3. All the co-parceners of HUF

  4. Karta of HUF
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The joint Hindu Family Business is normally managed by the senior member of the family and he is known as Karta. All the necessary powers, rights and responsibility to carry on the business is in the hands of the Karta.

Multiple choice commerce discharge and breach of a contract remedies for breach of contract performance, discharge, breach and remedies of contract business law and contract act

A contracts with B to deliver possession of a house under construction within a period of 6 months; failing which he would pay the monthly rental of B, The monthly rental payable by B for A is in the nature of ___________.

  1. Exemplary Damages

  2. Special Damages

  3. Liquidated Damages

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

Liquidated damages are a pre-estimated amount agreed upon by the parties at the time of contract formation to be paid in the event of a breach. Since the rental amount is fixed as a consequence of the delay, it qualifies as liquidated damages.

Multiple choice book keeping and accountancy dissolution of firm accounting record at the time of dissolution procedure of settlement of accounts partnership account (dissolution of partnership)

_________ is created to provide funds for payment to the legal heir of the deceased partner.

  1. Sinking fund

  2. Joint life policy

  3. Invest in mutual fund

  4. Fixed deposit in banks
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Joint Life Policy is specifically designed to provide liquidity to the firm to settle the claims of a deceased partner's estate.

Multiple choice business organisation and correspondence joint stock company 6 - meetings, proposal and winding up of a company meetings and other aspects of a company joint stock companies joint stock company

Which of the following are the rights available to agents?

  1. Right to remuneration

  2. Right to retainer

  3. Right to lien

  4. All of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

An agent is any person who has been legally empowered to act on behalf of another person. Agents are employed to represent their client in negotiations or dealings with third parties. 

As per the terms of agency contract, agent has rights to claim remuneration. 
Agent has right to deduct the amount which is due to him by principal, from amount payable to principal. 
Agent can exercise right of lien but contract act has not specified whether it is general lien or particular lien. Therefore the nature of agent’s lien depends upon mutual understanding.

Multiple choice elements of accounts dual effect of transactions and types of accounts meaning and classification of business transactions develop the understanding of recording of transactions in journal illustrations on journal entries

Maintaining records of various properties helps _____________.

  1. in ascertaining profit or loss of the business

  2. to ensure there is no unauthorised use or disposal of any asset or property of the business

  3. in fulfilling the statutory obligation

  4. in giving the look of a professionally managed company
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Assets purchased for the business are to be recorded in the books of account of the business. This is mandatory to keep a proper records of all such assets to ensure that the business assets are used for business purposes only. No unauthorized uses for business assets should be done. 

Multiple choice social science government budget and taxation indian taxation system taxation : need, principles and importance tax and its importance

Identify the non-tax revenue from the following statement: "It refers to claim of the government on the property of a person who dies without leaving behind any legal heir or a will".

  1. Special Assessment

  2. Escheats

  3. Forfeitures

  4. Fees
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Escheats refers to the reversion of property to the state when a person dies without a will or legal heirs.

Multiple choice social science government budget and taxation indian taxation system taxation : need, principles and importance tax and its importance

Estate duty was levied on _______.

  1. the total property

  2. the total wealth

  3. the total capital introduced in a company

  4. the total property passing to the heirs on the death of a person.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Estate duty was a tax levied on the value of a deceased person's estate before it was distributed to heirs.

Multiple choice organization of commerce and management ownership structures - sole proprietorship and joint hindu family business hindu undivided family business introduction to huf joint hindu family business

A and B are joint owner of a house. They rent it out of C and divide the net rent equally. A & B are ________.

  1. Partners

  2. Co-owners

  3. Principal & agent

  4. Consignor & Consignee
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Co-ownership refers to the division of ownership of something into two or more heads and working some business out of it to achieve common goals. This act can be passed through an agreement between the co-owners or even it can be done through the operation of law which will be bound on all the co-owners.

Multiple choice rural development poverty rural economics economics

On what basis are the poor identified?

  1. Occupation

  2. Ownership of assets

  3. Both A and B

  4. None
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation
Scholars identify the poor on the basis of their occupation and ownership of assets. They are identified in 2 groups- rural poor and urban poor.
Multiple choice commercial applications basic accounting principles and concepts meaning and purposes of accounting need and basic principles of accounting generally accepted accounting principles

If rights and beneficial interest in a property is transferred but documentation and legal formalities are pending then seller & purchaser should record in their accounts sale & purchase. Which principle is applied here?

  1. Prudence

  2. Substance over from

  3. Materiality

  4. All of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The principle of substance over form dictates that the economic reality of a transaction should take precedence over its legal form. If the beneficial interest is transferred, it should be recorded as a sale even if legal paperwork is pending.

Multiple choice book keeping and accountancy accounting for not-for-profit organisation accounting record of non-trading organisations features of not-for-profit organisation meaning and characteristics of not-for-profit organisation

It is the amount which a non-trading concern receives as per the will of a deceased person. 

  1. Donations

  2. Life membership fees

  3. Legacy

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

Legacy is the property received by virtue of a will of a person or after his death. Its a capital receipt and hence would not appear in income and expenditure account and will be added to the capital in Balance sheet.  

Multiple choice book keeping and accountancy company accounts part - 2 (accounting for debentures) introduction to debentures meaning and features of debentures meaning of debentures

An unsecured bond that provides no lien against property as security for bond obligation is classified as _____________.

  1. secured bond

  2. debenture

  3. obligation bond

  4. specific bond
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A debenture is a long-term debt instrument that is not secured by physical assets or collateral, making it an unsecured bond.