Fundamentals of Law GK online MCQ practice set

Q41. — is a form of combination of buyers to prevent competition among themselves at an auction sale.

A. Knock-out agreement
B. Monopoly agreement
C. Oligopoly agreement
D. Puffing agreement

Q42. A, while filling up the insurance application form, states his age as 25 believing it to be true. His actual age was 27. The Life Insurance Corporation issued a policy in his favour charging a lower premium than what it should have charged if the actual age had been given. This is a case of

A. Fraud
B. Misrepresentation
C. Undue influence
D. Mistake of fact

Q43. In a promissory note, the amount of money payable

A. must be certain.
B. may be certain or uncertain.
C. is usually uncertain.
D. None of the above

Q44. R entered into a contract with L to marry her on a fixed date. However, before the marriage date, R went mad. With reference to the Indian Contract Act which is the valid response?

A. L can’t marry till R dies.
B. The executers of R can enforce the contract against L.
C. The contract becomes vo

Q45. The undertaking contained in a promissory note, to pay a certain sum of money is

A. conditional.
B. unconditional.
C. may be conditional or unconditional depending upon the circumstances.
D. None of the above

Q46. A makes a contract with B to buy his house for Rs. 50,000 if he is able to secure to bank loan for that amount. The contract is

A. void for vagueness.
B. wagering contract.
C. contingent contract.
D. voidable contract.

Q47. Ordinary damages will be awarded in cases where

A. the loss naturally flows from the breach of contract.
B. the loss is remotely connected with the breach of contract.
C. the loss is unusual and arises out of special circumstances peculiar to the contract.
D. None of the above

Q48. Which of the following statement is true in connection with Quasi-contract?

A. It is imposed by law.
B. A Quasi-contract is a revoking contract.
C. Damages cannot be claimed for breach of Quasi-contractual right.
D. It arises out of an agreement.

Q49. A cheque is always payable on

A. the date mentioned therein.
B. demand.
C. 3 days after presentation.
D. within 24 hrs of presentation

Q50. Each party to a contract is bound to perform his part of the obligation. After the parties have made due performance, the contract comes to an end. In such a case the contract is said to be discharged

A. by breach of contract.
B. by impossibility of performance.
C. by agreement and novation.
D. by performance of contract.

Q51. Right in rem implies:

A. A right available against the whole world
B. A right available against a particular individual
C. A right available against the Government
D. None of the above

Q52. ‘Goods’ as defined in Sale of Goods Act will include

A. rare coins, goodwill and money.
B. growing crops agreed to be severed before sale, old coins and copyrights.
C. goodwill, copyright, patent and foreign currency.
D. Both (B) and (C)

Q53. Communication of acceptance is not necessary

A. by performance of conditions of the offer by offeree.
B. by acceptance of consideration by the offeree.
C. by acceptance of benefit/service by the offeree.
D. All of the above

Q54. Merchantable quality of goods means

A. that the goods are commercially saleable.
B. they are fit for the purpose for which they are generally used.
C. Both (A) and (B)
D. the quality should be of high standard.

Q55. According to Indian Contract Act, a promise is

A. a communication of intention to do something.
B. a proposal which has been accepted.
C. a gentleman’s word to do something.
D. a statement on oath.

Q56. Contracts contingent upon the non-happening of the future uncertain event becomes voidwhen such event:

A. Happen
B. Does not happen
C. The event becomes impossible
D. None of the above

Q57. A telephonic acceptance is complete when the offer is

A. spoken into the telephone.
B. heard but not understood by the offeror.
C. heard and understood by the offeror.
D. received, heard and understood by some person in the offeror’s house.

Q58. If a minor draws, endorses, delivers or negotiates an instrument, such instrument binds

A. all parties to the instrument including the minor.
B. only the minor and not other parties to the instrument.
C. all parties to the instrument except the minor.
D. None of the above

Q59. What can a catalogue of books, listing price of each book and specifying the place where the listed books are available be termed as?

A. An offer
B. An obligation to sell book
C. An invitation to offer
D. A promise to make available the books at the listed

Q60. Which of the statement is incorrect in connection with duties of seller and buyer?

A. It is the duty of the seller to deliver the goods.
B. It is the duty of the buyer to accept and pay for them.
C. It is not the duty of the seller to deliver the goods.
D. It is the duty of the buyer to take delivery of goods.