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

Res nullius belongs to him who

  1. makes it

  2. discovers it

  3. purchases it

  4. first obtains possession of it
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Res nullius means that which belongs to no one. Res nullius belongs to him, who first obtains the possession.

Multiple choice

“Possession is nine-tenths of law.” It implies

  1. possession has become a pure technicality of the law

  2. possession has become a variable concept of the law

  3. ownership is easier to maintain if one has possession of something

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

Possession is nine-tenths of law is an expression meaning that ownership is easier to maintain if one has possession of something or difficult to enforce if one does not.

Multiple choice

Mediate possession is one which a person can

  1. acquire through an agent or a servant

  2. acquire unlawfully

  3. acquire directly by himself

  4. acquire lawfully
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Possession over a thing may be mediate or immediate. A thing possessed by a person directly or personally is said to be in immediate posses­sion while a thing possessed by a person through another is said to be in mediate possession.

Multiple choice

What is the most essential criterion of possession?

  1. Corpus or physical control

  2. A legal instrument

  3. Intention to hold

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

The intention to exclude others from the control of property is an essential element of factual possession. The intention to possess the property exclusively implies the intention to exclude all others including the true owner, whether known or unknown, to the adverse possessor.

Multiple choice

Which of the following statements represent(s) the difference between possession and ownership?

  1. Full enjoyment of the property is restricted in possession and there is no restriction in ownership.

  2. The right of ownership consists of excluding others from using it and there is no such right in possession.

  3. Both (1) and (2)

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

The ownership is the de jure recognition of the right over the property. The possession has limited rights to consume, destroy and alienate. Thus, full enjoyment of the property is restricted in possession and there is no restriction in ownership.

Multiple choice

A ‘holder in due course’ is a person

  1. entitled to possess the negotiable instrument in his own name and to recover the amount

  2. who becomes a possessor of the negotiable instrument for consideration

  3. who holds the instrument as an agent of the payee

  4. who possesses the instrument only for the purpose of presentation for payment
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A ‘holder in due course’ is a person who has received a negotiable instrument in good faith and without notice that it is overdue, that there is any prior claim, or that there is a defect in the title of the person who negotiated it.

Multiple choice

A court to which decree has been transferred while executing, cannot

  1. order attachment

  2. execute the decree against the legal representatives of the deceased judgment detor

  3. send the decree for execution to another court

  4. order execution at the instance of the transferee of the decree
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A court to which decree has been transferred while executing, cannot order execution at the instance of the transferee of the decree.

Multiple choice

The transferee of a decree

  1. may enforce the decree against the legal representatives too

  2. may enforce the decree against the sureties available with the judgment debtor

  3. may enforce the decree against the securities available with the judgment debtor

  4. shall hold the quintiles which the judgment debtor might have enforced against the original decree-holder
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Option 4 is correct.

Multiple choice

Survey and inspection of a property is essential

  1. before acceptance of risk to assess the risk for rating purpose

  2. to find out the true value of asset

  3. to find out how the asset came into the owner’s possession

  4. to know whether any other property in the neighbourhood can be insured
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Survey and inspection of a property is essential before the acceptance of risk to assess the risk for rating purpose.

Multiple choice

On foreclosure of a policy, which of the following is incorrect?

  1. Nothing is payable to the policyholder.

  2. Excess amount (subsisting cash value after deducting loan/interest) is payable.

  3. Notice has to be given to the policyholder by the insurer.

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

Foreclosure is a legal process in which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments to the lender, by forcing the sale of the asset used as the collateral for the loan. On foreclosure of a policy, nothing is payable to the policyholder.

Multiple choice

Mortgage is _____________ in the immoveable property.

  1. transfer of title

  2. transfer of interest

  3. pledge

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

Mortgage is defined in Transfer of Property Act, 1882, Section 58. It involves the transfer of interest in a specific immovable property for the purpose of securing an existing or future debt or for the performance of an engagement which may give rise to a pecuniary liability. In other words, mortgage means transfer of some interest in property while the legal ownership continues with the mortgagor.

Multiple choice

A mortgage where, without delivering possession of the mortgaged property, the mortgagor binds himself personally to pay the mortgage-money is known as

  1. simple mortgage

  2. usufructuary mortgage

  3. english mortgage

  4. anomalous mortgage

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Simple mortgage is where, without delivering possession of the mortgaged property, the mortgagor binds himself personally to pay the mortgage-money and agrees expressly or impliedly that in the event of his failing to pay according to his contract, the mortgagee shall have a right to cause the mortgaged property to be sold and the proceeds of sale to be applied, so far as may be necessary, in payment of the mortgage-money.