Principle Fact Quiz || CLAT 2021 Free Revision Plan || 25.05.2021 for CLAT UG Exams

Question 1

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. The term Ultra Vires means ‘Beyond Powers’. In legal terms, it is applicable only to the acts performed in excess of the legal powers of the doer.

II. This works on an assumption that the powers are limited in nature.

Facts:

Justice League Corporation enters into a contract with Marvel Corporation. The object of the contract extends beyond the scope of Justice League Corporation. Can this contract be enforced in a court of law?

Question 2

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. An implied contract is a legally-binding obligation that derives from actions, conduct, or circumstances of one or more parties in an agreement.

II. It has the same legal force as an express contract, which is a contract that is voluntarily entered into and agreed on verbally or in writing by two or more parties.

Facts:

Jesse enters Gordon Ramsay’s restaurant and orders a plate of Salmon. Gordon Ramsay serves the food and after a few bites taken by Jesse, he finds it undercooked. He then leaves the restaurant without paying. Is Jesse liable?

Question 3

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. An implied contract is a legally-binding obligation that derives from actions, conduct, or circumstances of one or more parties in an agreement.

II. It has the same legal force as an express contract, which is a contract that is voluntarily entered into and agreed on verbally or in writing by two or more parties.

Facts:

Niall Horan purchases a ticket for a train journey from Bangalore to Chennai for 24/09/20. On the face of the ticket for his journey, it is stated ‘for conditions see back’ in small print. The passenger does not check the conditions and tries to exchange his ticket for the next week but an officer says he cannot exchange it as is mentioned in the conditions. Niall:

Question 4

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. A Contract is an agreement between two or more persons to achieve a particular purpose while specifying the rights and duties of each party. A proposal is one of the essentials of a valid contract.

II. The intention to create legal relations is not a necessary ingredient of a contract as per section 10 of the Indian Contract Act, 1872 but this principle is considered to be a necessary ingredient of an offer according to English law.

III. A proposal becomes a promise only after acceptance of the offer.

Facts:

Joe Jonas signifies his willingness to Nick Jonas to walk his dog four times a week with a view to obtain the assent of Nick. Is Joe bound by this statement made to Nick?

Question 5

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. A party is held liable for breach of a contract once there has been acceptance communicated after an offer has been made.

Facts:

Zayn wanted to purchase Gigi’s old Audi R8 which she wanted to dispose of and therefore sent a telegram to asking her the lowest price of the car which she would accept. Gigi telegraphed back that he would accept Rs. 60,00,000. On Zayn agreeing to the price, Gigi refused to sell.

Question 6

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. Section 27 of the Indian Contract Act, 1872 deals with agreements in restraint of trade. According to the said section, every agreement by which anyone is restrained from exercising a lawful profession, trade or business of any kind, is to that extent void.

II. However, in the case of the service agreements, the restraint of trade is valid. In an agreement of service by which a person binds himself during the term of agreement not to take service with anyone else directly or indirectly to promote any business in direct competition with that of his employer is not in restraint of trade, so it is a valid contract.

Facts:

Troy agreed to become an assistant for 2 years to Gabriella who was practising as a chartered accountant in Delhi. It was also agreed that during the terms of the agreement that Troy will not practice as a chartered accountant on his own account within 20 km. of the office of Gabriella in Delhi. At the end of one year, Troy left the assistantship and started practice on his own account within the 5 km of the office. Can Troy be restrained from practising?

Question 7

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. In case of rescission, the old contract is cancelled and no new contract comes in its place. A contract is also discharged by rescission. Sometimes, parties may enter into an agreement to rescind the previous contract.

II. Such a contract would not require performance.

Facts:

Bellamy and Clarke enter into a contract to sell and purchase goods. Clarke according to the contract is to pay Rs. 10,000 to Bellamy for 4 pairs of shoes on a monthly basis. Clarke considers paying Rs. 5,000 to Bellamy instead of Rs. 10,000.

Question 8

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. As per Section 4 of the Indian Contract Act, 1872, the communication of an acceptance is complete as against the acceptor when it comes to the knowledge of the proposer.

II. Section 5 of the Indian Contract Act, 1872 states that acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards.

Facts:

Tony Stark offered to sell his house to Pepper Pots for Rs 18,00,000. Pepper Pots accepted the offer by post. On the very next day, Pepper Pots sent a telegram revoking the acceptance which reached Tony before the letter of acceptance. Is the revocation of acceptance valid?

Question 9

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. As per Section 4 of the Indian Contract Act, 1872, the communication of an acceptance is complete as against the acceptor when it comes to the knowledge of the proposer.

II. Section 5 of the Indian Contract Act, 1872 states that acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards.

Would it make any difference if both the telegram of revocation of acceptance as well as the letter of acceptance reaches Tony Stark at the same time?

Question 10

Direction: Apply the legal principles to the facts given below and select the most appropriate answer:

Legal Principles:

I. Where a person lawfully does anything for another person or delivers anything to him not intending to do so gratuitously and such other person enjoys the benefit thereof, the latter is bound to pay compensation to the former in respect of, or to restore, the thing so done or delivered.

II. A person who has paid a sum of money which another person is obliged to pay is entitled to be reimbursed by that other person provided that the payment has been made by him to protect his own interest.

Facts:

Harry Styles was walking with his dog near the park. He sees Zayn Malik standing next to a shop, worried and pleading with the shopkeeper as he does not have enough money. Harry goes over to help and offers him Rs. 5,000 if he repays him within the period of 4 days as Zayn stated it was an emergency, but Zayn does not pay after a week. Can Zayn be liable?