Q1. What is a contract?

Ans. It is  a legal binding  that defines the rights and liabilities of two parties that creates mutual legal obligation.


Q2. Is it necessary to make contract in written form?

Ans. A contract can be in written or oral form. However,  oral contracts are challenging to  be enforce and hence , oral contracts are avoided usually.



Q3. What all are the essentials of the  valid contract ?

 Ans. A valid contract has some requisites which are as follows:-

        (i)  An offer

        (ii) Acceptance

        (iii) Promise

        (iv) Consideration( valuable)

        (v) Capacity 


Q4. If the consent given in the contract is  because of undue influence will it be considered as the valid contract?

Ans. NO, it will not be considered as a valid contract .A contract is valid only if it is made with a free will.


Q5. What are the ways  an offer maybe terminated?

 Ans.    (i) Rejection of the offer

            (II) effluxion of the prescribed time

            (iii) death of the either party 

            (iv)  lack of legal capacity to act

            (v) Revocation of the offer 


Q6. What is misrepresentation?

Ans. Misrepresentation in legal terms  means false statement made by the contractual party to another earlier to the conclusion of contract and regarding something related to the contract.


Q7. What to do if the possession of my flat is delayed  even after completing all the necessary formalities and paying the full amount . Can I, institute a suit in this scenario? 

 Ans. In such circumstances you can send a legal notice to the dealer stating that breach of contract has been done and even after that if, he does not gives you the possession of the building you can  file the case against the dealer and can ask for the damages incurred by you.                                                                                                                                                                                                                                                              

Q8.  Mohan offered to sell his car for Rs.500,000 . Shyam accepted the offer via email. Next day Shyam sends a fax  to Mohan revoking the acceptance which reached Mohan before the email.Is the revocation valid?

 Ans. In this case revocation is valid because the acceptor( Shyam ) can revoke the offer ( buying the car ) anytime before the letter of acceptance reaches to the offeror ( Mohan).


Q9. Ravi owes money to Nikhil under a contract . It is agreed between Ravi, Nikhil and Omkar that Nikhil shall henceforth accept Omkar instead of Ravi.  Whether Nikhil in this case can claim money from Omkar ?

Ans. Yes, a contract needs to be performed when the parties to it agrees to substitute a new contract for it.

 

Q10. What do you understand by anticipatory breach of contract?

 Ans. It occurs when the promisor refuses to perform his promise and signifies his unwillingness even before the time has arrived.


Q11. Harish,a clock repairer , repaired  Nitish’s wall clock for Rs.100. Before Nitish could take the delivery of the clock the shop caught fire because of the short- circuit in the building and all the items in the shop got destroyed through no fault of Harish. Does Right Of lien exist?

 

Ans. In this , the issue  relates not to existence of lien  but rule relating to particular lien. And in this instance, ‘Harish is entitled to get his repair charges for the work he performed prior to fire.