The Indian Contract Act, 1872 – Consideration 0 The Indian Contract Act, 1872 - Consideration 1 / 30 Q.30 Which of the following is false ? Generally a stranger to a contract cannot sue A verbal promise to pay a time barred debt is valid Completed gifts need no consideration No consideration is necessary to create an agency 2 / 30 Q.29 Which of the following is false ? Consideration Must move at a desire of the promisor May move from any person Must be illusory Must be of some value 3 / 30 Q.28 Which of the following is true ? Consideration must result in a benefit to both parties Past consideration is no consideration in India Consideration must be adequate Consideration must be something ,which a promisor is not already bound to do 4 / 30 Q.27 Consideration in general means anything in return price in return money in return None of these 5 / 30 Q.26 M promised to pay N Rs.10,00,000.if N discovers treasures by magic .here consideration is physical impossible legally not permissible illusory valid 6 / 30 Q.25 A contracts with B that if A practices as a surgeon within Goa ,he will pay Rs.5,000.A practices as surgeon in Goa.B is entitled to such compensation exceeding Rs.5,000 not exceeding Rs.5,000 not exceeding Rs.5,000 as the court considers reasonable as B may wish 7 / 30 Q.24 Adequacy of consideration is to be seen from the view point of court promise promisor beneficiary 8 / 30 Q.23 An essential feature of consideration is that it must be enchased it must be given by the promisee alone it must be at the desire or request of the promisor it must be guaranteed 9 / 30 Q.22 Consideration must be adequate inadequate Either (a) or (b) neither (a) nor (b) 10 / 30 Q.21 Consideration may be also be offered by a person other than the promise TRUE Partly True FALSE None of these 11 / 30 Q.20 X's brother runs away from the house .Y who is an employee of X offers to search for the brother & goes out for the purpose .in the absence of Y ,X offers a reward of Rs.1 lakh to any one who can either find out the brother or give clues enabling X find his brother.Y finds out X's brother & claims therewards even though he did not know about it earlier .in this case- Y is entitled to the reward TRUE Partly True FALSE None of these 12 / 30 Q.19 A who is indebted to B ,sells his property to C ,C promises to pay off the debt to B .when C fails top pay B has no right to sue C ,because the object is unlawful there is no consideration between B & C B is stranger to contract between A & C the consideration is inadequate 13 / 30 Q.18 What does the max.'Ex Nudo pacto non oritur actio' ,mean ? an agreement without consideration is void an agreement without consideration is valid an agreement with consideration is void None of these 14 / 30 Q.17 Consideration & objects are unlawful when it is fraudulent forbidden by law or defeat any provision of any law is immoral & against public policy All of these 15 / 30 Q.16 A consideration is doing or abstaining from doing something at the desire of the promisor a reasons fore making a proposal regards for the condition of other party compensation for breach of the contract 16 / 30 Q.15 The general max. of law is that when money is paid ,it is to be applicable according to the expressed will of the payer the receiver Either (a) or (b) Both (a) & (b) 17 / 30 Q.14 Hari owes Rs.1 lakh to Maya, Maya is entitled to recover this amount from Hari.this is called rights in persona rights in rem constitutional right there is no right at all 18 / 30 Q.13 Inadequate of consideration is relevant in determining the question of capacity of parties possibility of performance legality of object free consent 19 / 30 Q.12 Past consideration is no consideration in India TRUE Partly True FALSE None of these 20 / 30 Q.11 Can a time-barred debt adjust by a creditor, where the debtor makes the payment without indicating the debt to be adjusted ? Yes ,in such a case the creditor is at liberty to make such adjustment No, as a time-barred debt cannot be recovered Yes, if the court directs so None of these 21 / 30 Q.10 Can a contract which is made by a deed (i.e.a contract under seal ) be valid even if it is made without consideration ? Yes NO partly Yes None of these 22 / 30 Q.9 J married K & left for US , promising to pay K Rs.50,000 p.m till such time J was in US .this case is social obligation ,not an agreement Void Contract Voidable Contract valid contract 23 / 30 Q.8 A promiser is not normally bound by his promise unless some consideration is offered by the promisee TRUE Partly True FALSE None of these 24 / 30 Q.7 A writes to B 'I am willing to sell my car as it is today for Rs.75,000'.B replies ,'I can buy it for Rs.65,000'.A keeps quite. subsequently, B writes 'I will buy it for Rs.75,000'.there is a binding promise in this case TRUE Partly True FALSE None of these 25 / 30 Q.6 There can be a stranger to a consideration but not a stranger to a contract TRUE Partly True FALSE None of these 26 / 30 Q.5 A find's B's purse & gives it back to him .B promises to give A Rs.50 .this is agreement contract Acceptance offer 27 / 30 Q.4 NO CONSIDERATION NO CONTRACT" does not apply to completed gift, i.e. gifts given & accepted. True Partly True False None of the above 28 / 30 Q.3 R promised to pay a subscription of Rs.5,000 to S for the G.M.Fund . He later change his mind. could the amount be recovered from raj ? Yes NO partly Yes None of these 29 / 30 Q.2 A gives to B Rs.5,00,000 to be given to C .B informs C that he is holding the money for him .but afterwards B refuses to pay the money .C sues B for the money .B intends that C cannot sue as he was not a party to the contract .Will the contention of B be upheld Yes NO partly Yes None of these 30 / 30 Q.1 Can a promise to pay money to a witness served with a notice be enforced Yes NO partly Yes None of these Your score is LinkedIn Facebook Twitter VKontakte