AILET entrance exam Question Bank Solutions for Legal Reasoning

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A contract requires a proposal and acceptance of the proposal. It is necessary to make a binding contract, not only that the proposal is accepted, but also that the acceptance is notified to the proposer.

Factual Situation: A sent a letter to B stating that he was willing to sell to B, 10 bags of rice at ₹ 20/- each. B wrote a letter to A accepting the offer and posted it.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.  

Principle: A contract requires a proposal and acceptance of the proposal. It is necessary to make a binding contract, not only that the proposal be accepted, but also that the acceptance is notified to the proposer.

Factual Situation:
A sent a letter to B stating that he was willing to sell to B, 10 bags of rice at ₹20/- each. B sent an e-mail to the address mentioned in the letter-head, accepting the offer.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: An agreement becomes a contract when it is entered into between two or more people with each other's free consent. Two or more people are said to consent when they agree to the same thing in the same sense. Consent is said to be free when it is not caused by coercion, undue influence, fraud, misrepresentation, or mistake.

Factual Situation: A went to a doctor to get himself treated. The doctor asked him to sign a "consent form" and said that unless he signs it, he will not examine him. A signed the form waiving his right to sue the doctor.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.  

Principle: Where both parties to an agreement are under a mistake as to the matter of fact essential to the agreement, the agreement is void.

Factual Situation: A had a piece of land. He believed that the value of the land was ₹1,000 per square foot. B knew that the value of the land was infact ₹1,500 per square foot. However, he did not inform A and purchased the land at ₹1,000.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: The object of an agreement is lawful unless it is forbidden by law; is of such a nature that, if permitted, it would defeat the provisions of any law; is fraudulent; involves or implies injury to the person or property of another person; the court regards it as immoral; it is opposed to public policy.

Factual Situation: A and B entered into a contract, whereby A agreed to get married to B if her parents paid A Rs. 1,00,000 before the wedding. B's parents failed to pay the promised amount. A sues B and her parents.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: The object of an agreement is lawful unless it is forbidden by law; is of such a nature that, if permitted, it would defeat the provisions of any law; is fraudulent; involves or implies injury to the person or property of another person; the court regards it as immoral; it is opposed to public policy.

Factual Situation: A was arrested by the police for committing an offence and was subsequently granted bail by the Court. One of the conditions imposed by the Court for granting bail was that A arranges for a surety for ₹50,000. A approached B to be a surety. B agreed but insisted that they enter into a contract whereby A would deposit ₹50, 000 into B's account, which would be returned to A by B after the case was over.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: The object of an agreement is lawful unless it is forbidden by law; is of such a nature that, if permitted, it would defeat the provisions of any law; is fraudulent; involves or implies injury to the person or property of another person; the court regards it as immoral; it is opposed to public policy.

Factual Situation: A and B, a Hindu couple were married to each other. Owing to differences between them, they decided to get divorced.  They entered into a contract laying down the conditions that both parties had to adhere to. One of the terms of the contract was that their children would not be entitled to claim the ancestral property of A, the husband.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A second suit will not be heard on the same facts between the same parties.

Nakshatra files a suit against Chandra for getting possession of a house on the ground that the property passed on to her through the will executed by Surya before his death. The suit gets dismissed as Nakshatra fails to produce the will. Nakshatra files another suit against Chandra to get the same house from the latter, on the ground that she was entitled to the house as being the nearest heir of Surya.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A second suit will not be heard on the same facts between the same parties.

Mr. Sampath went to a party alone in his wife Sunanda's car. He usually used his wife's car after office hours and his wife never objected to it. At the party, he got drunk. instead of taking the risk of driving the car, he requested his friend Mr. Vivek to drive him back home in Sunandas car, Mr. Vivek was quite sober since he had moderately consumed alcohol. On the way, Vivek knocked down a boy and injured his leg. Subsequently, on behalf of the boy, a claim for compensation was brought against Mrs.Sunanda since the car belonged to her and it was registered in her name. The insurance company refuses to pay compensation because the police report says that the person driving the car at the time of the accident had consumed alcohol.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: When the parties to an agreement agree on the same thing in the same sense, there arises legally binding obligations between them.

Facts: Zaverilals antique shop was a well-known shop in the locality. Taradevi, a socialite of the locality, went to the shop and she was attracted by an earthen jar on display. Zaverilal explained to her that the jar belonged to the Hoysaia period; and despite its earthern composition, it was very strong and almost unbreakable. Taradevi replied to him that she was so captivated by the jar that it was immaterial to her as to which period, it belonged. She bought the jar and came home. She placed the jar in a prominent place in her drawing-room. One of her friends, an art critique, who happened to visit her, told her that the jar was not at all an Antique, but Taradevi did not bother about it. One day, it accidentally fell down and broke into pieces. Taradevi took up the matter with Zaverilal that his both statements were wrong and therefore, he should pay damages to her

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: Damages are payable for breach of contract and the purpose of damages is to compensate him for the loss suffered and not to improve his position more than what it would have been if the contract had been duly performed.
Facts: A wanted to buy a house and he contracted with a surveyor S to inspect a particular house and value it for him. S surveyed the house and valued it for Rs. 10 lakhs. S, however, failed to notice the defective plumbing system in the house, and had he taken note of it, the house would have been worth only Rs. 8 lakhs. A followed S's advice and bought the house for Rs. 8 lakhs and thereafter spent Rs. 4 lakhs for repairing the plumbing system. He filed a suit against S claiming Rs. 4 lakhs as damages

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: Law does not take notice of trifles.

Facts: A proposes to his neighbour B that they both should go together for a morning walk. B agrees to the proposal and it is decided that both of them would meet at a particular point at 6 AM from where they would set off for the morning walk. In spite of the agreement, B does not turn up. A waits for him at 6 AM every day for a continuous period of seven days. Thereafter he files a suit against B claiming damages for the agony and mental torture suffered by him. Decide.

Given below is a statement of legal principle followed by factual situations. Apply the principle to the facts and select the most appropriate answer.

A sent a letter to B stating that he was willing to sell to B, 10 bags of rice at ₹20/- each. B wrote a letter to A accepting the offer and posted it.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: When there is a breach of contract, the resulting damages will have to be paid by the party breaching the contract to the aggrieved party. However, the parties are free to agree as to damages payable in advance in case there is a breach of contract.

Facts: Mr. Ramesh entered into a contract with Mr. Ramakrishna for selling his green Alto Car for Rs. 3 lakhs. Mr. Ramakrishna was to pay Rs. 3 lakhs on or before 25th April 2005 and take possession of the car. The party failing to honour the contract has to pay Rs. 40,000/- as damages to the other party. Mr. Ramakrishna has not performed his part of the contract. Mr. Ramesh is claiming Rs. 40,000/-

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: Contractual liability is completely irrelevant to the existence of liability in tort (civil wrong).

Facts: X purchased a bottle of ginger-beer from a retailer. As she consumed more than 3/4 of the contents of the bottle, she found a decomposed remains of a snail in the bottle. After seeing the remains of a snail, she fell sick on the thought of what she consumed. She sued the manufacturer of the beer for negligence, though there is no contractual duty on the part of the manufacturer.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A contingent contract is a contract to do or not to do something, if some event, collateral to such contract, does or does not happen.

Facts: A agrees to pay B a sum of Rs. 1 lakh if B marries C within a period of six months. B marries C during the seventh month as the marriage hall was available only during that month. B claims Rs. 1 lakh from A.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A contract without consideration is void. When at the desire of one party the other party does something, the consideration is said to flow from the latter to the former.

Facts: A's house was .on fire and a child was trapped inside the house. Everyone was shouting for help. A brave onlooker, hearing the shrieks of a child, went inside the house and brought him out. The father of the child promised to pay the rescuer Rs.10,000. Subsequently, he backtracked his promise. The rescuer sued the promise for the breach.

Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts and select the most appropriate answer.

Principle: A contract procured by coercion is bad under the Indian Contract Act. Coercion is defined as committing or threatening to commit any act forbidden by the Indian Penal Code. Attempt to commit suicide is an offence under the India Penal Code.

Facts: A wanted his wife B to part with some landed property given to her by her father. B resisted fearing that her husband would squander it away. A threatened her that if she does not sign the deed transferring the property to him (i.e., A), he would commit suicide. B signed the deed. Subsequently, she challenged the deed on the ground that the deed was bad under law.

The following question consists of two statements, one labeled as ‘Assertion’ (A) and other as  ‘Reason’ (R). You are to examine these two statements carefully and select the correct answer.

Assertion (A): A void contract is not necessarily illegal

Reason (R): Every illegal contract is void.

P, Q, and R made a joint promise to give S a sum of ₹3000. S recovered the whole amount from P. Q was declared insolvent and cannot give anything. Which statement out of the following is correct?