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Consists of Legal Proposition(S)/ Principle(S) (Hereinafter Referred to as 'Principle') and Facts. Such Principles May Or May Not Be True in the Real and Legal Sense, Yet You

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Consists of legal proposition(s)/  principle(s) (hereinafter referred to as 'principle') and facts. Such principles may or may not be true in the real and legal sense, yet you have to conclusively assume them to be true for the purposes of this Section. In other words, in answering these questions, you must not rely on any principle except the principles that are given herein below for every question.  
Further, you must not assume any facts other than those stated in the question. The objective of this section is to test your interest in study of law, research aptitude, and problem-solving ability, even if the 'most reasonable conclusion' arrived at may be absurd or unacceptable for any other reason. It is not the objective of this section to test your knowledge of the law.  
Therefore, to answer a question, the principle is to be applied to the given facts and to choose the most appropriate option. 

Principle: According to the law of trade unions in India, no suit or other legal proceeding shall be maintainable in any civil court against any registered trade union or any officer or member thereof in respect of any act done in contemplation or in furtherance of a trade dispute.

Facts: Soloman, the Secretary of a registered Trade Union took a loan from a bank for the higher education of his daughter. Soon after completing the course, she was married to an NRI Engineer. Solomon did not repay the loan. The Bank demanded the payments from Soloman and warned him that the Bank will take suitable legal action against him. Identify the legal position in this regard.

Options

  • Soloman did not use the loan amount for his use and hence, no action can be initiated against him.

  • The Bank cannot initiate any action against Soloman as he is the Secretary of a Registered Trade Union.

  • The Bank can recover the loan amount from the Trade Union as Soloman is the Secretary of the Union.

  • The Bank can file a suit for recovery of the loan amount against Soloman as he took the loan for a personal purpose and in such case, no immunity will work.  

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Solution

The Bank can file a suit for recovery of the loan amount against Soloman as he took the loan for a personal purpose and in such case, no immunity will work.  

Explanation:

The Bank can file a suit for recovery of the loan amount against Soloman as he took the loan for a personal purpose and in such case, no immunity will work. The Trade Union Act does not provide any immunity in any civil court to either a registered Trade Union or its officer against non-repayment of a personal loan.

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Contract Law
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2016-2017 (May) Set 1

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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.

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The question consists of legal propositions/principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion. Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true. In other words, in answering the following question, you must not rely on any principles except the principle that is given herein below for the question. Further, you must not assume any facts other than those stated in the question. The objective of this section is to test your interest in the study of law, research aptitude, and problem-solving ability.

Principle: When an offer is accepted by a person to whom it is made, it becomes a promise. But this promise will become legally binding only when the acceptance of the offer is unconditional.

Facts: Ram makes an offer to sell his house to Shyam for 50 lacs. Shyam accepts this offer but wants to pay the price of the house in five quarterly installments. Ram does not agree with it. Thereafter Shyam agrees to pay the price of the house in the way as originally desired by Ram. But Ram does not reply to it. Can Shyam compel Ram to sell his house to him?


Principle: Trade dispute means any dispute between employers and workmen or between workmen and workmen or between employers and employers which is connected with the employment or non-employment or the terms of employment or the conditions of labour, of any person. Disputes connected with the non-employment must be understood to include a dispute connected with a dismissal, discharge, removal, or retrenchment of a workman.

Facts: 'X', an employee in a sugar factory, raised a dispute against 'Y', the employer, through trade union regarding certain matters connected with his suspension from the employment.  


Principle: A contract that is duly supported by real and lawful consideration is valid not withstanding the fact that the consideration is inadequate. The quantum of consideration is for the parties to decide at the time of making a contract and not for the courts (to decide) when the contract is sought to be enforced. An agreement to which the consent of the promisor is freely given is not void merely because the consideration is inadequate, but the inadequacy of the consideration may be taken into account by the court in determining the question of whether the consent of the promisor was freely given.

Facts: 'A' agrees to sell his mobile phone worth 20000 for 100 only to ‘B’ as the content is freely given.
Which of the following derivations is correct?


LEGAL PRINCIPLES: 1. Acceptance must be given only by the person to whom the offer is made. 2. Communication of acceptance to a person who did not make the offer does not bind the offeror.
FACTUAL SITUATION: Pal sold his business to Sam without disclosing it to his customers. Mani, an old customer sent an order for goods to Pal by name. Sam, the new owner, executed the order. Mani refuses to accept the goods from Sam as he intended to deal only with Pal. In a suit by Sam against Mani: 
DECISION:


Principle: When, at the desire of one person, any other person has done or abstained from doing something, such act or abstinence or promise is called a consideration for the promise. 

Facts: X, the uncle of Y, made a promise to pay him an amount of 1,00,000/- as a reward if Y quits smoking and drinking within one year. Y quit smoking and drinking within six months.


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