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Question
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 the 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: Every agreement, of which the object or consideration is opposed to public policy, is void. An agreement that has the tendency to injure public interest or public welfare is one against public policy. What constitutes an injury to the public interest or public welfare would depend upon the times and the circumstances.
Facts: 'A' promises to obtain for 'B' employment in the public service, and 'B' promises to pay rupees 5,00,000/- to 'A'.
Options
The agreement is void because rupees 5,00,000/- is excessive.
The agreement is valid, as it is with consideration for public service.
The agreement is valid, as it is a contract between two parties with their free consent.
The agreement is void, as the object and consideration for it is opposed to public policy.
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Solution
The agreement is void, as the object and consideration for it are opposed to public policy.
Explanation:
The agreement is void, as the object and consideration for it are opposed to public policy. The promise made by 'A' to B is opposed to public policy as it has the tendency to injure public interest or public welfare. The agreement is, therefore, void.
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When the contract is perfectly valid but cannot be enforced because of certain technical defects. This is called
Apply the legal principles to the facts given below and select the most appropriate answer.
Legal Principles:
1. Consideration is something that moves from the promisee to the promisor, at the implied or express request of the latter, in return for his promise. The item that moves can be a right, interest, profit, loss, responsibility given or suffered, forbearance, or a benefit which is of some value in the eyes of law.
2. An offer may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterward.
Factual Situation: The defendant, Mr. Dhawan, wrote to the complainant, Mr. Chaman, with an offer to sell his house to him for Rs. 8,00,000. He promised that he would keep this offer open to him until Friday. However, on a Thursday Mr. Dhawan accepted an offer from a third party and sold his house. According to Mr. Chaman, he was going to accept this offer but had not said anything to Mr. Dhawan because he understood that he had time until Friday. Mr. Dhawan communicated to Mr. Chaman that the offer had been withdrawn, through a friend to the complainant. After hearing this, Mr. Chaman went to find the defendant, informing of his acceptance of the offer. Thereafter, the complainant brought an action for specific performance and breach of contract against the defendant. Whether the defendant's promise to keep the offer open until Friday morning was a binding contract between the parties and whether he was allowed to revoke this offer and sell to a third party?
Apply the legal principles to the facts given below and select the most appropriate answer.
Legal Principles:
- Offer is a proposal made by one person to another to do any act or abstain from doing it. The person who makes the offer is known as the promisor or offeror and the person to whom an offer is made is known as the promisee or the offeree.
- A contract comes into being by the acceptance of an offer. When the person to whom the offer is made signifies his consent thereto, the proposal is said to be accepted and the parties are at consensus ad idem regarding the terms of the agreement.
Factual Situation: The plaintiffs offered to provide delivery of a machine tool for a price of ₹75,535. The delivery of the tool was set for 10 months, with the condition that orders only qualified as accepted once the terms in the quotation were met and prevailed over any of the buyer's terms. The buyer responded to the offer with their own terms and conditions, which did not include the 'price variation clause' listed in the seller's terms. This included a response section that required a signature and is returned in order to accept the order. The sellers returned this response slip with a cover letter signaling that delivery would be in accordance with their original quotation. The tool was ready for delivery but the buyers could not accept delivery, for which the sellers increased the price which was in line with their initial terms. This was denied by the buyer and an action was brought by the seller to claim the cost of delay and interest. Was a contract made with or without a price variation clause?
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.
Principle A proposal (offer) should be made with an intention that after its valid acceptance, a legally binding promise or agreement will be created. The test for the determination of such intention is not subjective, rather it is objective. The intention of the parties is to be ascertained from the terms of the agreement and the surrounding circumstances under which such an agreement is entered into.
As a general rule, in the case of arrangements regulating social relations, it follows as a matter of course that the parties do not intend legal consequences to follow. On the contrary, as a general rule, in the case of arrangements regulating business affairs, it follows as a matter of course that the parties intend legal consequences to follow. However, the above rules are just presumptive in nature and hence can be rebutted.
Facts: One morning while having breakfast, 'X', the father, says to 'Y' (X's son), in a casual manner, 'I shall buy a motorbike for you if you get through the CLAT.'
Which of the following derivations is correct?
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?
Principle: A gift comprising both existing and the future property is void as to the latter.
Facts: 'X' has a house that is owned by him. He contracted to purchase a plot of land adjacent to the said house, but the sale (of the plot of land) in his favour is yet to be completed. He makes a gift of both the properties (house and land) to 'Y'
Under the aforementioned circumstances, which of the following derivations is correct?
Study the following information and answer the questions that follow:
Principle: A 'fixture' is something attached to the land or a building in such a way that it is regarded as an irremovable part of the property you are considering buying. Some typical 'fixtures' in a home include the hot water service, range top, wall oven, fixed floor coverings, light fittings, and a built-in (under bench) dishwasher. Garden plants, including bushes and trees, are also 'fixtures'.
Rule A. When land is sold, all 'fixtures' on the land are also deemed to have been sold.
Rule B. If a movable thing is attached to the land or any building on the land, then it becomes a 'fixture'.
Factual Situation Khaleeda wants to sell a plot of land she owns in Beghmara (Meghalaya) and the sale value decided for the plot includes the fully-furnished palatial six-bedroom house that she has built on it five years ago. She sells it to Gurpreet for ₹60 lakh. After completing the sale, she removes the expensive Iranian carpet which used to cover the entire wooden floor of one of the bedrooms. The room had very little light and Khaleeda used this light-colored radiant carpet to negate some of the darkness in the room. Gurpreet, after moving in, realizes this and files a case to recover the carpet from Khaleeda.
Assume that in the above fact scenario, Khaleeda no longer wants the carpet. She removes the elaborately carved door to the house after the sale has been concluded and claims that Gurpreet has no claim to the door. The door in question was part of Khaleeda's ancestral home in Nagercoil (Tamil Nadu) for more than 150 years before she had it fitted as the entrance to her Beghmara house.
Amongst the following options, the most relevant consideration while deciding a case on the basis of the above two principles, would be
The following question consists of two statements, one labelled as. 'Assertion' and the other as 'Reason'. Read both the statements carefully and answer using the codes given below.
Assertion (A): No action lies for more damage caused by some act that does not violate a legal right.
Reason (R): An action lies for interference with another's legal right even where it causes no actual damage.
