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Remedies for breach of contract - class-XII

Description: remedies for breach of contract
Number of Questions: 31
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Tags: commerce business law and contract act business studies discharge and breach of a contract
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When a party to a contract refuses for fails to perform his obligation when it is due, is called ___________.

  1. actual breach of contract

  2. anticipatory breach of contract

  3. both (A) and (B)

  4. none of the above


Correct Option: A

An intentional Misrepresentation will amount to -

  1. Fraud

  2. Coercion

  3. Undue Influence

  4. None of these


Correct Option: A

A contracts to marry B. Before the agreed date of marriage, A marries C. Here, B is entitled to sue A for ___________.

  1. actual breach in an express manner

  2. anticipatory breach in an express manner

  3. actual breach in an implied manner

  4. anticipatory breach in an implied manner


Correct Option: D

In case of anticipatory breach of contract, the ___________..

  1. contract automatically comes to an end

  2. promisor is discharged of his liability

  3. promisee has no remedy

  4. promisee can claim damages


Correct Option: D

In case of anticipatory breach remedies available to aggrieved party is ________.

  1. he cannot claim damages

  2. he can wait till due date

  3. he has no right at all

  4. none of the above


Correct Option: D

N singer contracted with a theatre manager to sing a song. due to her illness she failed to perform the contract she received 20000 as advance _________.

  1. N must refund 20000

  2. N need not refund 20000

  3. they must enter into new agreement

  4. none of these


Correct Option: A

Quantum Meruit means _______.

  1. a non-gratuitous promise

  2. as implied promise

  3. as much as is earned

  4. as much as is paid


Correct Option: C

In case of  _______ the measure of damages depends upon the severity of shock to the sentiments of the Promisee/ aggrieved party. 

  1. Nominal Damages

  2. General Damages

  3. Vindictive Damages

  4. Special Damages


Correct Option: C

Which of the following Damages are punishment in nature? 

  1. Vindictive Damages

  2. Nominal Damages

  3. Special Damages

  4. Ordinary Damages


Correct Option: A

Damages awarded simply to recognise the right of the party to claim damages for the breach of the contract are called __________.

  1. General Damages

  2. Special Damages

  3. Vindictive Damages

  4. Nominal Damages


Correct Option: D

Where damages are not an adequate remedy, then court may order for _________.

  1. suit for injunction

  2. suit for quantum meruit

  3. suit for rescission

  4. suit for specific performance


Correct Option: D

X leaves his goods at Y's place who consumes them. Y is bound to pay the price. Y's act of consumption of goods constitutes an implied promise to pay, under the principle of __________.

  1. Contractual Obligations

  2. Quasi Contractual Obligations

  3. Semi Contractual Obligations

  4. Deemed Contractual Obligations


Correct Option: B

______ arises obligations where no Contract is originally entered.

  1. Wagering Contract

  2. Contingent Contract

  3. Quasi Contract

  4. None of these


Correct Option: C

A contracts with B to deliver possession of a house under construction within a period of 6 months; failing which he would pay the monthly rental of B, The monthly rental payable by B for A is in the nature of ___________.

  1. Exemplary Damages

  2. Special Damages

  3. Liquidated Damages

  4. Penalty


Correct Option: C

Quasi Contractual Obligations arise by the principle of ______.

  1. Equity, Justice & Good conscience

  2. Restitution

  3. Recession

  4. None of the above


Correct Option: A

If the aggrieved party does not face any loss ___________ damages can be claimed.

  1. general

  2. special

  3. nominal

  4. vindictive


Correct Option: C

Which of the following is incorrect?

  1. Ordinary damages are recoverable

  2. Special damages are recoverable only if both the parties knew about them

  3. Indirect damages are not recoverable

  4. None of the above


Correct Option: D

Quasi Contractual liabilities lead to ____. 

  1. Prevention of unjust enrichment

  2. Counter Offer

  3. Cross Offer

  4. Specific Offer


Correct Option: A

Which of the following give(s) a right to claim damages for its breach?

  1. Conditions

  2. Warranties

  3. Both (A) and (B) above

  4. None of the above


Correct Option: C

A person choosen by disputing parties to settle their differences is called ______.

  1. Agent

  2. Partner

  3. Arbitrator

  4. Owner


Correct Option: C

A Company announced a reward of Pounds 100 to anyone who contracted influenza after using its Smoke Balls for a certain period. Mrs. C used the Smoke Balls and contracted influenza. She claimed the reward but the Company rejected her claim stating that she did not communicate her acceptance to the Company. Here ____________.

  1. acceptance is not communicated and reward cannot be claimed

  2. offer is not communicated and reward cannot be claimed

  3. acceptance need not be communicated and reward can be claimed

  4. there is no claim since reward cannot be given for contracting diseases


Correct Option: C

Kedar promised to pay Rs. 5000 to car repairer for the incurred expenses but later Kedar refused to pay the agreed amount. Which of the following is true?

  1. Car repairer cannot claim the expenses.

  2. The car repairer can claim Rs. 5000.

  3. Car repairer cannot claim Rs. 500 as compensation.

  4. None of the above.


Correct Option: B

Rohan promises to make a gift of RS. 10,000 towards the repairs of a temple. The trustees of the temple on the faith of his promise incurs liabilities. Rohan does not pay. Can the trustees recover the promised amount from Rohan?

  1. The trustee cannot recover anything from Rohan.

  2. The trustee can recover to the extent of liabilities from Rohan.

  3. The trustee can recover Rs. 10,000 from Rohan.

  4. None


Correct Option: B

Which of these constitute Fraud?

  1. Any act fitted to deceive

  2. Any such act or omission as specifically declared by law to be fraudulent

  3. Both (a) and (b)

  4. Neither (a) nor (b)


Correct Option: C

A promise made without any intention of performing it cannot be regarded as Fraud

  1. True

  2. False


Correct Option: B

In case of Anticipatory Breach, the Promisee can ___________.

  1. put an end to the contract and treat the anticipatory breach as actual breach of contract.

  2. elect to keep the contract alive till the date of performance

  3. either (a) or (b)

  4. neither (a) nor (b)


Correct Option: C

In case of anticipatory breach, where the Promise elects to keep the contract alive, if during the time the contract remains open, some event happens discharging the Promisor from his liability, the Contract becomes _________.

  1. Illegal

  2. Void

  3. Voidable

  4. contingent


Correct Option: B

S, a singer, contracts with H, manager of a theatre, a sing at his theatre for two nights every week during next two months. H agrees to pay her Rs.1000 for each night's performance. On sixth night, S willfully absents herself, and H, in consequence, rescinds the contract. In this case ________.

  1. H has no obligations to S

  2. H must pay S for five nights on which she had performed

  3. S has no remedy against H

  4. The contract is illegal


Correct Option: B

B chartered A's ship and agreed to load it with a cargo in Odessa within 45 days. B was unable to supply the cargo, but A continued to demand it. Meanwhile war broke out, rendering the performance impossible. In such case _________.

  1. contract is discharged

  2. A cannot sue for damages

  3. both (a) and (b)

  4. neither (a) nor (b)


Correct Option: C

A who was badly in need of money offered to sell his piano worth Rs. 8,500 to B fro Rs. 5,000. B refused to buy. A gradually lowered his price until Rs. 2500 was reached, which B accepted. Before the piano was delivered A received an offer of a larger sum from X and he refused to carry out the contract with B claiming that the consideration was inadequate. Is A liable to pay damages to B for faiiure to carry out part of contract?

  1. No, as the consideration was inadequate A cancelled the contract

  2. Yes, A is liable to pay damages to B for failure to carry out his part of the contract

  3. No, as the contract was made due to Undue Influence

  4. Any of the above


Correct Option: B

The phase 'Quantum Meruit' Literally means:

  1. As soon as possible

  2. As much as is earned

  3. According to merit

  4. Quantity of goods


Correct Option: C
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