Test paper contract act

 Contract act 








Explanation the following questions with fact and sections

1.A is a famous  painter  and B is an entrepreneur.A promises to paint a picture for B.B afterwards forbids him to paint his picture  due to his illness.explain liability of A to perform his promise .



In this situation A is not bound to perform his promise .this problem has been covered with section 63 of Indian Contract Act .

According section 63 promisee may dispense with or remit performance of promise.he may extend the time for such performance and accept any satisfaction.




2.A contract with B to buy his hores at rs 10,000/ but the horse has  run away from stable .A have given 10,000/ to B in advance .explain the liability of B and legal surface of contract .


In this situation B will have to return 10,000/ to A .this problem has been covered with section 65 . according this section any person who has got advantage under void agreement or void contract .he will have to restore  that benefit .









3.Ram is a tenant of Laxman's house  .1 lakh rupees  due as electricity bill over this house .Ram had paid this electricity bill .if Laxman did not give money to Ram  then Ram has any legal remedy or not ...



Laxman will have to return 1 lakh rupees to Ram .because this situation has been covered with section 69 a person who is interested in the money which another is bound by law to pay that money .in this situation Ram had to pay loss so he has interest to pay that money 








4.A delivers to B a common carrier 

a machine to be conveyed without delay to A 's mill informing  B that his mill is stopped for want of the machine .B unreasonably delays the delivery of the machine and A in consequence loses a profitable contract with the Government.explain the legal liability of B ,mention the  name of case which has similar facts ....

In this situation A is entitled to receive average amount by way of compensation .he cannot get the compensation for that loss which he has got from the  contract with government.this problem has been covered with section 73 .similar facts had been covered in

 HADLEY VERSES BAXENDAL 












5.A gives recognizance binding him in a penalty of Rs .500 to appear in court on a certain day .he forfeits his recognizance.what is legal responsibility of A.

.

A will have to give 500/  as penalty .this situation has been covered by exception of section 74 .if any person has entered into bail bond for his recogizance for public welfare .he will have to pay the whole sum ,which mentioned in bail bond .



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