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Principle: Mere Silence as to Facts Likely to Affect the Willingness of a Person to Enter into a Contract is Not Fraud Unless the Circumstances of the Case Ate Such That, Regard Being Had to Them, - Mathematics

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Question

The question consists of two statements, one labelled as principle and other as Fact. You are to exa.mine the principle and apply it to the given facts carefully and select the best option.

PRINCIPLE: Mere silence as to facts likely to affect the willingness of a person to enter into a contract is not fraud unless the circumstances of the case ate such that, regard being had to them, it is the duty of the person keeping silence to speak, or unless his silence is, in itself, equivalent to speech.

FACT: A sells, by auction, to B, a horse which A knows to be unsound. A says nothing to B about the horse's unsoundness.

Options

  • A can be held liable for fraud

  • A can be held liable for misrepresentation

  • A cannot be held liable, because he did not say anything positive about the soundness of horse.

  • A cannot be held liable because it is the buyer who must be aware of the things.

MCQ
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Solution

A cannot be held liable, because he did not say anything positive about the soundness of horse.

shaalaa.com
Indian Contract Act (Entrance Exams)
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2014-2015 (May) Set 1

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In this Question problem consists of a set of rules and facts. Apply the specified rules to the set of facts and answer the question. In answering the following question, you should not rely on any rule(s) except the rule(s) that are supplied for problem. Further, you should not assume any fact other than 'those stated in the problem. The aim is to test your ability to properly apply a rule to a given set of facts, even when the result is absurd or unacceptable for any other reason. It is not the aim to test any knowledge of law you may already possess. 

Rule A: An owner of land has the right to use the land in any manner he or she desires. The owner of land also owns the space above and the depths below it. 

Rule B: Rights above the laud extend only to the point they are essential to any use or enjoyment of land. 

Rule C: An owner cannot claim infringement of her property right if the space above his or her land is put to reasonable use by someone else at a height at which the owner would have to reasonable use of it and it does not affect the reasonable enjoyment of his or her land. 

Shazia's case: Shazia owns a single storeyed house in Ahmedabad which has been in her family for more than 75 years. The foundation of the house cannot support another floor and Shazia has no intention of demolishing her family home to construct a bigger building. Javed and Sandeep are business partners and own three-story houses on either side of Shazia's house. Javed and Sandeep are also Ahmedabad's main distributors for a major soft drinks company. They have erected a huge hoarding advertising their products, with the ends supported on their roofs but the hoarding also passes over Shazia's house at 70 feet and casts a permanent shadow on her terrace. Shazia decides to hoist a huge Indian flag, going up to 75 feet, on her roof. She files a case, asking the court to order Javed and Sandeep to remove the hoarding for all these reasons. 

Applying only Rules A and B to Shazia's case, you would decide:


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: If a party to a contract agrees to it under the undue influence of any other party then the party under the undue influence may refuse to perform in accordance with the agreement.

Facts: A, a rich youngster became a member of a religious group and soon he was appointed by P the head of the group as his personal secretary. As per the rules of the group, all officials and staff of the group were supposed to stay in the group’s official premises itself. Some days later, A was asked by P to execute a gift deed in favour of P, in which it was mentioned that all immovable properties in his name are being gifted to P. A was unwilling to execute the deed, but he was forcefully restrained by P and his bodyguards in P’s office and made A sign the gift deed. Soon after this A left the group and refused to hand over the property as agreed to in the gift deed. Is A’s action valid?


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. 

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Facts: ‘A’, a man, took away a girl below sixteen years to Mumbai without informing the parents of the girl.


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In agreements of a purely domestic nature, the intention of the parties to create a legal relationship is


Drawing cash from ATM, sale by fall of the hammer at an auction sale, etc., are an example of


................. is a one-sided contract in which only one party has to perform his promise or obligation.


A contract in which, under the terms of a contract, one or both the parties have still to perform their obligations in the future is known as


As per section 2(e) of the Indian Contract Act, “Every Promise and every set of promise forming the consideration for each other is a/an


An offer stands revoked


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