Tag: business law and contract act

Questions Related to business law and contract act

X leaves his goods at Y's place who consumes them. Y is bound to pay the price. Y's act of consumption of goods constitutes an implied promise to pay, under the principle of __________.

  1. Contractual Obligations

  2. Quasi Contractual Obligations

  3. Semi Contractual Obligations

  4. Deemed Contractual Obligations


Correct Option: B

______ arises obligations where no Contract is originally entered.

  1. Wagering Contract

  2. Contingent Contract

  3. Quasi Contract

  4. None of these


Correct Option: C

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


Correct Option: C

Quasi Contractual Obligations arise by the principle of ______.

  1. Equity, Justice & Good conscience

  2. Restitution

  3. Recession

  4. None of the above


Correct Option: A

If the aggrieved party does not face any loss ___________ damages can be claimed.

  1. general

  2. special

  3. nominal

  4. vindictive


Correct Option: C

Which of the following is incorrect?

  1. Ordinary damages are recoverable

  2. Special damages are recoverable only if both the parties knew about them

  3. Indirect damages are not recoverable

  4. None of the above


Correct Option: D

Quasi Contractual liabilities lead to ____. 

  1. Prevention of unjust enrichment

  2. Counter Offer

  3. Cross Offer

  4. Specific Offer


Correct Option: A

Which of the following give(s) a right to claim damages for its breach?

  1. Conditions

  2. Warranties

  3. Both (A) and (B) above

  4. None of the above


Correct Option: C

A person choosen by disputing parties to settle their differences is called ______.

  1. Agent

  2. Partner

  3. Arbitrator

  4. Owner


Correct Option: C

A Company announced a reward of Pounds 100 to anyone who contracted influenza after using its Smoke Balls for a certain period. Mrs. C used the Smoke Balls and contracted influenza. She claimed the reward but the Company rejected her claim stating that she did not communicate her acceptance to the Company. Here ____________.

  1. acceptance is not communicated and reward cannot be claimed

  2. offer is not communicated and reward cannot be claimed

  3. acceptance need not be communicated and reward can be claimed

  4. there is no claim since reward cannot be given for contracting diseases


Correct Option: C