Deck 3: Contract Law and Agreements: Understanding Consent, Capacity, and Legality

Question 1

Ex turpi causa non oritur action means?

A)from an illegal cause, no action arises
B)from an illegal cause action may arises
C)from an legal cause action may arises
D)from an legal cause action may not arises

Answer 1

from an illegal cause, no action arises

Question 2

Consideration and object of an agreement is unlawful if it

A)is fraudulent
B)is possible
C)is impossible
D)all of the above

Answer 2

is fraudulent

Question 3

The stifling agreement is

A)wagering
B)contingent
C)voidable
D)void

Answer 3

void

Question 4

Which of the following agreements are valid?

A)uncertain agreements
B)wagering agreements
C)agreements to do impossible events
D)none of the above

Question 5

In which of the following agreements, restraint of trade is valid?

A)agreement with buyer of goodwill
B)trade combinations not opposed to public policy
C)partnership agreements
D)all of the above

Question 6

An uncertain agreement is

A)voidable
B)void
C)valid
D)illegal

Question 7

An illegal agreement is

A)not enforceable by law
B)prohibited under law
C)either (a) & (b)
D)both (a) & (b)

Question 8

Which of the following is not a feature of a wagering agreement?

A)chances of gain or loss
B)uncertainty of future event
C)neither party have control over future event
D)neither parties should have an interest in the event

Question 9

An athletic competitions are valid because they are

A)games of skill
B)just games
C)game of luck
D)all of the above

Question 10

Share market transactions with a clear intention only to settle the price difference are

A)wagering agreements
B)not wagering agreements
C)contingent contracts
D)voidable agreements

Question 11

Which of these are not opposed to public policy?

A)trading with enemy
B)stifling prosecution
C)compromise of compoundable offences
D)agreement to commit a crime

Question 12

Where a person agrees to maintain a suit, in which he has no interest, the proceeding is known as

A)champerty
B)maintenance
C)stifling with prosecution
D)interference with course of justice

Question 13

An agreement whereby one party assists another in recovering money or property and in turn share in the proceeds of the action is called

A)champerty
B)maintenance
C)stifling with prosecution
D)trafficking the public office

Question 14

Which of the following is a contingent contract?

A)contract of insurance
B)contract for doing impossible acts
C)marriage contract
D)wagering agreements

Question 15

Consent means parties agreeing on

A)the terms of contract
B)some terms of contract
C)the same thing in the same sense
D)any matter of contract

Question 16

_________ means forcibly compelling a person to enter into a contract

A)intimidation
B)fraud
C)mistake
D)coercion

Question 17

Duress under English contract law is similar to

A)undue influence
B)coercion
C)fraud
D)misrepresentation

Question 18

Ubberima fidei means

A)bad faith
B)utmost good faith
C)good faith
D)no faith at all

Question 19

When one of the parties is under a mistake as to a matter of fact essential to the agreement, it is called

A)unilateral mistake
B)bilateral mistake
C)partial mistake
D)incomplete mistake

Question 20

The maxim 'Ignoranlia juris non excusa' stands for

A)law will not punish ignorant people
B)law will punish illiterate people
C)ignorant people can excuse law
D)ignorance of law of land is no excuse

Question 21

The case of 'no consent', i.e., when there is no consent at all, is described by Salmond as

A)error in causa
B)error in consensus
C)consensus ad idem
D)offer and acceptance

Question 22

Capacity to contract means

A)the parties are financially sound to make contracts
B)the parties are physically able to enter into contracts
C)the parties are legally competent to enter into contracts
D)all of the above

Question 23

Competence to contract means

A)age of the parties
B)soundness of the mind of the parties
C)both (a) & (b)
D)intelligence of the parties

Question 24

A minor's agreement is void. This was held in the case of

A)mohiri bibee vs. dharmadas ghosh
B)salma begam vs. jan mohamed khan
C)balfour vs. balfour
D)chinnaiya vs. ramaiya

Question 25

A minor can be

A)ratify his agreement after attaining majority
B)be directed by the court for specific performance of the contract
C)always plead his minority
D)be held liable for cheques issued by him