Internal Question Bank

B.com, LL.B (Honors) Sem-1 Contract-1

Academic Year 2022-2023
Prepared by : Dr. Naimisha Chandrakant Kadhiwala
Assistant professor, VNSGU.
Instructions – 1. Kindly incorporate recent amendments as per your subject 2. This
Question bank is only for reference purpose. 3. Also focus on your syllabus 4. Cite case
laws

Q-1. Answer the following question in shortly.(2 marks)

1. What is contract under the Indian Contact Act, 1872?
According to Section -2(h) : An agreement which is enforceable by the law is
contract.
2. What is S-2(a) under the Indian Contract Act, 1872 ? Define.
S-2(a) is defining the definition of the proposal . Proposal means “When a person
signifies to another his willingness to do or to abstain from doing anything, with a view
to obtaining the assent of that other to such act or abstinence, he is said to make proposal.
3. Essentials of valid or legal offer or proposal?
 An offer must be intended to give rise to legal consequences.
 An offer must be one capable of creating legal relationship between the
parties.
 The term of the offer must be certain
 Offer may be specific or general
 Offer must be communicated to the offeree
 Offer is different from invitation to offer.
 Offer may be conditional.
 Offer must be made with a view to obtaining the assent.
 An offer should not contain a term the non-compliance of which would
amount to acceptance
 Standing , open or continuing offer or tenders
 Cross and counter offers are not valid offers
4. What is invitation to offer or quotation ?
 Where a party without expressing his final willingness, proposes certain terms
on which he is willing to negotiate, he does not make an offer, but he only
invites the other party to make on offer an those terms. It is called ‘invitation
to offer’ or ‘offer to negotiate’ or ‘invitation to treat’…..etc.
5. Define S-2(b) of Indian contract act,1872 ?
S-2(b) : defines acceptance as “When the person to whom the proposal is made
signifies his assent thereto, the proposal is said to be accepted. A proposal
when accepted becomes promise.” The acceptance is the assent or consent
given to a proposal by the offeree.
6. Essentials or requisites of valid acceptance.
 Acceptance must be absolute and unconditional.
 Acceptance must be in the mode prescribed
 Acceptance must be communicated
 Acceptance must be after an offer
 Acceptance should be made while the offer is still subsisting.
 Acceptance by performing conditions, or receiving consideration.
 A proposal once rejected cannot be accepted unless it is renewed.
 Revocation of acceptance
 Provisional acceptance is no acceptance
 Death of offeree
7. Define communications under the act?
S-3 of the contract act provides that an offer may be communicated by the offeror-
by any act or omission by which the offeror-
(a) Intends to communicate such offer; or
(b) Which has the effect of communicating the offer.
Thus, an offer may be made by words of mouth, or by writing or conducting in a
manner, which has the effect of communicating the offer to the offeree. An offer may
be an express offer i.e., which is made by some positive act on the part of the offeror or
it may be implied offer which may be inferred from the conduct of the party,.
8. Exceptions for communication of acceptance is not necessary?
 Waiver of the communication of acceptance
 Acceptance of an offer by conduct
 Unilateral contract
9. Revocation of proposal-How made?
 By notice of revocation
 By lapse of time
 By failure to fulfil a condition precedent
 By death or insanity of the offeror
 By rejection of a proposal
 Revocation by counter-offer
 Revocation by failure to accept in the mode prescribed
10. Define consideration of different authors and under Indian contract act.
As per Blackstone, “ Consideration is the recompense given by the party contracting
to the other.”
Justice Patterson says, “ Consideration means something which is of some value in
the eye of law….It may be some benefit to the plaintiff or some detriment to the
defendant.”
According to Sir Frederick Pollock, “ An act or forbearance of the one party or the
promise thereof, is the price for which the promise of the other is bought, and the promise
thus given for value is enforceable.
S-2(d) of contract act : “When, at the desire of the promisor, the promisee or any
other person has done or abstained from doing, or does or abstains from doing, or
promises to do to or abstain from doing, something, such act or abstinence or promise
is called consideration for the promise.”
11. Justify maxim nudum pactum meaning with exceptions mention only.
Nudum pactum means : Without consideration.There will be no existance of contract
without consideration. No consideration no contract but there are some exceptions in s-25
of contract act which are as under.
1. Promise made on account of natural love and affection
2. Promise to compensate for voluntary services
3. Written promise to pay a time-barred debt
4. Contract of Agency
5. Completed gifts
6. Remission by the promisee of performance of the promise
7. Contract under seal
8. Negotiable Instrument
9. Others
12. Explain salient Features of Consideration.
1. Promissory Estoppel (Consideration must move at the desire of the promisor)
2. Consideration may move from the promisee or any other person
 3. Consideration may be past, present or future
4. Consideration need not be adequate
5. Consideration must be real and not illusory
13. Doctrine of Privity of Contract…..Explain briefly.
N ‘Privity’ means “without knowledge and consent.” The term privity denotes mutual
or successive relationship to the same right of property. Privity is derivative kind of
interest, founded upon or growing out of the contract of another, as that which subsists
between an heir and his ancestor, between executor and testator, and between lessor and
lessee and his assignee; a relation which creates an obligation.It’s simple meaning A
stranger to contract cannot sue. No one but the parties to a contract can be entitled
under it, or bound by it.
14. Incompetent parties of contracts.
Section -11 of the Contract Act declares that a person is incompetent to contract are as
under :
 Minor
 Unsound mind and
 If he is disqualified from contracting by any law to which he is subject.
Incapacity to contract may arise out of (A) mental deficiency and (B) status.
Mental deficiency may be due to Minority, idiocy, lunacy or drunkenness. Incapacity
arising out of status may be divided into 4 heads 1.political or civic, foreign
sovereign,alien enemy , felons 2. professional 3. artificial or corporate and 4. married.
15. Legality of validity of Minor’s contract
 Agreement by a minor is void.
 No ratification of minor’s contract is possible
 No Estoppel against a minor
 No restitution for minor’s fraud
16. Exceptions to the general rule, a minor’s agreement is ‘absolutely void.’
 A minor binds others but is never bound by others.
 Contracts of Marriage on behalf of minor.
 Minor can be admitted to the benefit of partnership
 Minor as a member of a company
 Minor in a contract of agency
 Minor and negotiable instruments
 Minor and insolvency
 Membership of societies
 No specific performance of minor’s agreement
 Insurance
  Joint documents
 Contracts of apprenticeship
 Minor’s liability for necessaries
17. What is the definition of Sound mind?
Sound mind means ‘free from defect’ and ‘in good condition’ and sound mind means,
“That state of man’s mind which is adequate to reason and comes to a judgement upon
ordinary subjects like other rational men.”
18. Who is unsound mind?
Unsoundness of mind does not means weakness of mind or loss of memory. It means
not only lack of capacity to understand the terms of the contract but also lack of
understanding to realise the effect of the term of contract. Idiots, lunatics and drunkardsare
considered as unsound mind.
19. Section -10 of the contract act?
According to S-10, resumes that which agreements are contract. We can say that All
contracts are agreement but all agreements are not contract. If an agreement is done with
1. Free consent
2. Competant parties
3. Lawful consideration and object
4. Are not hereby expressly declared to be void
20. What is Maintenance and Champerty?
Maintenance refers to an unconnected third-party assisting to maintain litigation, by
providing, for example, financial assistance. Champerty is a form of maintenance, where
a third-party pays some or all of the litigation costs in return for a share of the proceeds.
21. Explain Free Consent or Explain S-13 to 22 of Indian Contract Act.
Free Consent , means when consent is not taken with
 Coercion or duress
 Undue influence
 Fraud
 Misrepresentation
 Mistake.
22. Essentials of Coercion ?
1. An act forbidden by IPC
2. Threatening to commit an act forbidden by IPC
3. Unlawfully detaining of any property of any person
4. Threatening to detain the property of any person wrongfully.
23. Explain Parties ad idem ?
When Contracting parties Understand one thing in One meaning or in One sense.
24. Define Undue Influence?
According to S-16 of Indian Contract Act
1. Where the relation subsisting between the parties are such that one of the parties is
in a position to dominate the will of the other and uses that position to obtain an
unfair advantage over the other.
2. In particular and without prejudice to the generality of the foregoing principle, a
person is deemed to be in a position to dominate the will of another-
A. Where he holds a real or apparent authority over the other, or where he stands
in a fiduciary relation to the other, or
B. Where he makes a contract with a person whose mental capacity is temporarily
or permanently affected by reason of age, illness, or mental or bodily distress.
3. Where a person who is in a position to dominate the will of another enters into a
contract with him, and the transaction appears, on the face of it or on the evidence
adduced,to be unconscionable the burden of providing that such contract was not
induced by undue influence shall be upon the person in a position to dominate the
will of the other.
25. Pardanashin Women…….Define.
A women who is veiled , a woman who observes the rule of seclusion because of
the custom of her community, who can be extended to illiterate, old and sick ,lack
of understanding and appreciation of the transaction without independent advice.
26. S-18 of the Indian Contract Act……Explain
1. The positive assertion, in a manner not warranted by the information of the person
making it, of that which is not true, though he believes it to be true ;
2. Any breach of duty which, without an intent to deceive, gains an advantage of the
person committing it, or any one claiming under him; by misleading another to his
prejudice, or to the prejudice of any one claiming under him;
3. Causing,however innocently, a party to an agreement, to make a mistake as to the
substance of the thing which is the subject of the agreement.
27. Kinds of misrepresentation.
1. Innocent misrepresentation
2. Negligent or fraudulent misrepresentation.
28. Essentials of misrepresentation.
1. There must be representation made by one party to another.
2. Such representation must relate to a material fact. It must not relate to a matter of
opinion or intention. It does not involve dishonest intention.
3. Such representation must be untrue.
4. Such representation must be cause of the consent.
 5. Such representation must be made with the intention that it shall be acted upon by
the other party.
6. Such representation may be innocent some times.
29. What is Fraud ?
Fraud , means dishonestly or grave moral culpability. Fraud is a misrepresentation
made with an intention to deceive or cheat.
Under the contact act, S-17 is for Fraud.
1. The suggestion , as a fact , of that which is not true, by one who does not believe it
to be true.
2. The active concealment of a fact by one having knowledge or belief of the act.
3. A promise made without any intention of performing it;
4. Any other act fitted to deceive;
5. Any such act or omission as the law specially declares to be fraudulent.
30. Kinds of Fraud ?
1. Actual or positive fraud
2. Legal Fraud or fraud in law and
3. Constructive fraud.
31. Essential ingredients of Fraud.
1. There must be representation which must be false.
2. The representation must be relate to fact not to opinion.
3. The fraudulent representation must be made with an intention to deceive and must
deceive.
4. The party who is deceived must suffer some loss.
5. The representation must be made with the knowledge of its falsity or without belief
in its truth.
6. The representation must have induced the other party to enter into contract. A mere
falsehood is not enough to give a right to action. It must have induced the other party
to act upon it.
32. Exceptions to the rule that mere silence is not fraud.
When silence is not fraud situations :
1. When there is duty to speak, keeping silence is fraud .
A. Contacts of insurance
B. Fiduciary relationship
C. Suretyship
D. Sale of land
E. Partnership
F. Share allotment contracts
 G. Contracts of family settlements
H. Contracts of marriage engagement
I. Service contracts
2. Where silence is equivalent to speech
3. Statutory disclosures
4. Change of circumstances
5. Half truth.
33. Define Mistake……in ordinary sense as well as under the contract act.
Mistake in general sense, belief in the present existence of a thing material to the
contract, which does not exist. Mistake means some belief it to be true….but actual
sense does not exist that thing.
34. Types of Mistakes.
There are generally 2 types of mistakes
1. Unilateral mistake
2. Bilateral mistake.
But in the language of law we can say,
A. Mistake of fact and
B. Mistake of law.
35. Explain types of mistakes in brief.
Unilateral mistake means, when one party is mistaken . Section -22 of the contract
Act lays down that a contract is not voidable merely because it was caused by one of
the parties to it being under a mistake as to a matter of fact.
Bilateral mistake means 1. both parties to the contract must be under a mistake;2.
mistakes should be one of fact and not of law ; and 3. mistake should be essential to
the agreement.
Mistake of fact means a mistake takes place when some fact which really exists in
unknown; or some fact is supposed to exist which really does not exist. It means a
wrong belief regarding the material facts relating to the contract.
Mistake of Law means ignorance of law is not good excuse. Everyone knows the
law of the land. Mistakes of law may be three types.
1. Mistake of the general law of the country
2. Mistake of foreign law
3. Mistake of private rights of the parties.
36. Types of Bilateral mistake.
1. Mutual mistake
2. Common mistake.
37. Mistake non est factum meaning.
 It is not his/her deed. It is not deed of a party.
38. How can mutual mistake be raised?
Mistake as to subject matter
1. Mistake as to the existence of subject-matter
2. Mistake as to the identity of the subject-matter
3. Mistake as to the title of the subject-matter
4. Mistake as to the price of the subject-matter
5. Mistake as to the quality of the subject -matter
6. Mistake as to the quantity of the subject-matter
Mistake as to the possibility of performance
39. Distinction between mistake of fact and mistake of law

No. Mistake of fact Mistake of Law

1. Mistake of fact take place when some Mistake of law is an ignorance or error
fact which really exists is unknown or with respect to some general rules of the
some fact is supposed to exist. land applicable to all the persons.
2. Mistake of fact vitiates a contract Mistake of law does not vitiate contract
3. Mistake of fact, if it is mutual Under mistake of law , the contract is
Mistake the contract is void. Voidable , unless the mistake happens to b
be of foreign law.
4. Mistake of fact is a good excuse. Mistake of law is not good excuse.

40. Lawful and unlawful objects……explain S-23.

According to section-10 of the contract Act,1872 one of the essentials of a valid
contract is that the consideration and the object should be lawful. Section-23 of the
contract Act, “the consideration or object of an agreement is lawful unless-
1. It is forbidden by law or
2. It is fraudulent or
3. Involves or implies, injury to the person or property of another; or
4. The court regards it as immoral, or opposed to public policy.
41. State the general heads as opposed to Public policy (write any six)
1. Trading with alien enemy
2. Agreements for stifling prosecution
3. Agreement interfering with course of justice
 4. Agreements to conceal crime
5. Agreement to stifle prosecution
6. Agreement which abuse the legal process
7. Agreement ousting jurisdiction of the courts
8. Agreement to indemnity a surety
9. Agreements to vary the period of limitations
10. Maintenace and Champerty
11. Marriage brokerage Agreement
12. Agreements interfering with marital duties
13. Agreements affecting freedoms or security of marriage
14. Agreement to pay dowry
15. Agreements in restraint of marriage of a major
16. Agreements affecting personal liberty or freedom
17. Agreements affecting parental authority
18. Agreement relating adoption
19. Waiver of illegality
20. Traffic in public offices and titles
21. Agreement tending to create monopolies
22. Agreement not to bid in auction
23. Agreements to fraud creditors
24. Unfair and unreasonable dealings
25. Contract made under economic duress
26. Unconscionable agreements
27. Agreements to refund taxes
28. Agreements violating the policy of statutes beneficial to oppressed classes
42. What is Contigent contracts.
Contigent contracts are recognised as ‘conditional promises’ or‘conditional
agreements’. According to S-31 of the contract act , “ Contigent Contract” is a
contract to do or not to do something, if some event, collateral to such contract, does
or does not happen.
43. Types of contigent Contracts.
 Condition precedent to the formation of Contract
 Unilateral obligation subject to a condition
 Immediately binding contract upon the condition of happening of the specific event
44. Rules governing the enforcement of the various kinds of contigent contracts.
 No. Content of rules section
1. Enforcement of contracts contigent on an event happening Section-32
2. Enforcement of contract contigent on an event not happeningSection -33
3. When event on which contract is contigent to be deemed Section-34
Impossible, if it is the future conduct of a living person
4. Contracts are void , if they are contigent on happening of Section-35
Specified event within fix time. (first part)
When contracts may be enforced which are contigent on Section-35
Specified event not happening within a fixed time. (Second part)
5. Agreement contigent on impossible event void. Section-36
45. What are the kinds of contracts……explain in brief. (Any two) or explain
seperately.
No Types of contract Definitions
1. Unilateral contracts A contract is said to be unilateral where
One party has performed his obligations either
before or at the time when contract
Comes into existence.
Bilateral contracts As a general rule, every contract must be concluded
between two persons or between two parties.
2. Formal contracts Formal contracts have not received recognition by
the Indian contract act. These are in vogue in
England. Their validity depends upon their form
alone.
Simple contracts Contracts which are not formal known as simple
contacts. They also known as parole contracts. They
will be valid only when they are supported by
consideration.
3. Express contracts Contracts entered into between the parties by words,
spoken or written are……
Tacit contracts Contracts inferred from the conduct of
 the parties. viz., Obtain ticket from an
Automatic machine.
Implied contracts Contract not came into force by express words but
by the act or conduct.
4. Enforceable contracts It is valid contract and can be enforceable at the
instance or desire of either party.
Unenforceable contracts Which has all the essentials of a contract it can’t be
enforced because of some technical
defects.
5. Valid contracts An agreement which is enforceable by
Law is a valid contract.
Void contracts An agreement which is not enforceable by
Law is a void contract
Voidable contracts An agreement which is enforceable by law at the
option of one or more of the parties thereto, but not
at the option of the other or others, is a voidable
contract.
Illegal contracts Contracts which are opposed to statutory
Laws or public morals are called……
6. Foreign contracts A contract in which two or more countries are
concerned in respect of its performance,
Questions arise as to the law of which country
would govern such a contract.

46. What is the meaning of Privity of contract.

‘Privity’ means “with knowledge and consent”. A person can not acquire rights under
a contract to which he is not a party.
In the case of Dunlop Pneumatic Tyre Co. Vs Selfridge & Co. Ltd., (1915). only
a person who is a party to a contract can sue on it.
46. Methods or modes of discharge of contracts.(we ask you one mode in exam)
47. No 48. Methods /modes of discharge 49. Explanation
 1. Discharge by actual  Both parties have performed what
 Performance  They agreed to do under the contract
 A. By actual performance  The contract is discharged.
50. 51. B. Performance is dispensed 53. Insolvency of a party to a contract
52. With or executed 54. Discharge the contract.
55. 56. C. By refusing the tender of 58. Refusal to accept an offer of
57. performance 59. Performance .
60. 61. D. By refusal 62. When a party to a contract has refused
63. To perform, or disabled himself from
64. Performance the promisee may put end
65. to the contract.
66. 2. 67. Discharge by agreement 68. Contract is the result of an agreement
69. between more than two parties. Similar
70. manner parties agree or consent to
71. terminate contract many ways.
72. 73. A. novation 74. Substitution of a new contract in place
75. Of the old existing contract is known
76. as novation of contract.
77. 78. B. Alteration 79. Alteration means change in one or more of the
term of the contract. It can be material or
immaterial.
80. 81. C. Rescission 82. Rescission means cancellation. All or
83. Some of the term of a contract may be
84. Cancelled. When all the terms are
85. Cancelled, it is called total recission.
86. 87. D. Remission 88. Remission means exemption
89. Viz. A borrowed 500 from B. B agrees
90. to accept rs.250/- from A in satisfaction
91. Of the whole debt. The whole debt is
92. discharged.
93. 94. E. Waiver 95. Giving up or foregoing certain rights.
96. 97. F. Accord and satisfaction 98. Under S-63 of contract Act, a promisee
M may accept instead of the performance
of the promise made to him any satisfaction
which he thinks fit.
3. Discharge by lapse of time E every contract must be performed
Within the situated period or within a
R reasonable time of the contract.lapse
Of time discharges the contract.
4. Di Discharge by impossibility I impossibilities may appear on the face
Of performance Of of the contract or may exist unkown
To to the parties at the time of making
Contract.
5. Discharge by breach Breach means failure of a party to perform his
obligations under a contract. Breach
May be actual or anticipatory. The actual
Breach of contract takes place at the time
When the performance is due.
6. Discharge by operation of law ----------------
A. Death
B. Insolvency
C. Unauthorised -------------------
Material alteration of contract
D. merger

47. Explain various types of immoral agreements.

1. Sexual immorality
2. Furtherance of sexual immorality
3. Agreement for separation
4. Such acts which are against public morals
5. Any other immoral actions.

48. Explain various types of (void or unlawful) agreements.

1. Agreement in restraint of marriage (S-26)
 2. Agreement in restraint of trade (S-27)
Exceptions :
 Sale of goodwill
 Not to carry on any other business
 Not to carry on similar business after retirement
 Not to carry on similar business after dissolution
 Trade combinations
 Sole selling agent agreement
 Agreement between members of a trade union
 Service agreements
-Doctrine of severance or blue pencil rule
- agreement relating to restriction on lawful profession
-agreement restraint of legal proceedings
3. Wagering agreements (S-30)
49. Explain synopsis of agreement in restraint of trade.
Agreement in restraint of trade (S-27)
Exceptions :
 Sale of goodwill
 Not to carry on any other business
 Not to carry on similar business after retirement
 Not to carry on similar business after dissolution
 Trade combinations
 Sole selling agent agreement
 Agreement between members of a trade union
 Service agreements
50. Write the meaning of ‘wagering’ .
A wager is a contigent contract. It is an agreement to pay money or money’s worth on
the happening or non -happening of a specified uncertain event. Sir william Anson defined
wager agreement as “ a promise to give money or money’s worth upon the determination
or ascertainment of an uncertain event.”
51. Mention essential elements if wagering agreements.
 There must be a promise to pay money or money’s worth.
 The promise must be dependent upon the happening or non happening of an event.
 The event must be uncertain. The uncertain event may be past or future.
 There must be two parties. Each party must have a chance to lose or win.
 The gain of one party must be loss of the other.
  The promise must have been made with the sole intention to gamble wager is a
game of chance.
 Both the parties under no circumstances instead of enforce delivery.
 None of the parties have control over the happening of an event.
52. Exception under section-30 of contract act is exception for wagering agreements.
1. A chit fund
2. Games of skill
3. Shares, though speculative, do not come within the scope of wager.
4. Horse race
5. Contracts of agency for sale of raffle tickets.
6. A contract of insurance
53. What is the meaning of resiprocal promises ?
According to S-2(f) of the contract act , “Promises which form the consideration or
part of consideration for each other, are called resiprocal promises.”
54. Mention kinds of resiprocal promises.
1. Mutual and independent promises
2. Mutual and dependent promises
3. Mutual and concurrent promises
55. Mention various kinds of tender.
1. Tender of goods
2. Tender of money
56. Essential elements for valid tender.
1. Tender must be unconditional
2. Tender must be made at a proper time and place
3. Tender must be in respect of whole promise
4. Tender must be made in proper form
5. Tender must be made by a person who is able and willing to perform his
obligations
6. Tender must be made to a proper person
7. Tender should provide reasonable opportunity for inspection
8. Exact amount should be tendered
9. Offer to one of the joint promises.
57. Kinds of breach of contract.
1. Anticipatory breach : before the due date of performance has come ; and
2. Actual breach : i.e., non-performance of the contract on the due date of
performance.
58. Define Quasi-contract.
 Quasi is a latin word which means “as if”.
A contract is the result of an agreement enforceable by law. It comes into existence
from the action of the parties. It creates rights and obligations .But under certain
special circumstances, the law creates and enforce legal rights and obligations
although the parties have never entered into a contract. Such obligations imposed by
law are known as quasi-contract. Such contract is really not a contract at all but an
obligation which the law creates.
59. Characteristics or essential elements for quasi-contract…..mention them.
1. Quasi-contract is not created by the operation of contract but is imposed by law
2. It is right-in-personam not right-in-rem.
3. The person, who incurs expenses, is entitled to receive money.
60. Explain the meaning of Quantum Meruit
A quantum meruit is in the nature of an action for the value of services rendered. It is
the common phrase used in an action for compensation for work and labour.
61. Explain the meaning of the damage.
In a simple words damage means, “ a monetary compensation allowed to the injured
party by the court for the loss or injury suffered by him as a result of the breach of
contract. As per section-12 of Evidence act, ‘damages’ is the sum claimed or
awarded in compensation for loss or injury sustained.
62. Explain types of damages.

No. Types of Damages Explanation

1. Genaral or ordinary damages When contract has been broken injured
(Hadley vs Baxendale) Party can, as a rule, always recover damages.
2. Specific damages or particular Special damage are those which result from
damages the breach of contract under special
Circumstances.
3. Punitive damages The vindictive damages or punitive damages
Are awarded with the intention of punishing
The defaulting party not to do same in future.
4. Nominal damages These damages are those which are awarded
Only for the name sake.
63. Explain measures of Damages.
 1. Actual loss
2. Date of calculation
3. Loss arising in the usual course of things
4. Damages in contemplation of the parties
5. Same financial position
6. Cost of decree
7. Duty to mitigate the loss
8. Damage agreed upon in advance in case of breach
9. Vindictive damages
10. Nominal damages
11. Mental pain and suffering
12. Default in the payment of money
13. Difficulty in calculation
64. What is Liquidated damages and Unliquidated damages.
When the amount of compensation fixed by an agreement between the parties to be
paid, in case of breach, is in the nature of fair and honest pre-estimation of probable
damages. Is called Liquidated damages.
When the money value of which has not been determined in contract. If any person
breaches his duty, and causes any harm or loss to another person, it means tortious
liablility has arisen on that person……is called unliquidated damages.
65. What is the famous legal maxim means, ‘Ubi jus ibi remedium.’ ?
It means , “There is no wrong without a remedy.”
66. In which year specific relief act was executed ?
In the year 1963.
67. Mention various kinds of Specific Relief.
1. Restoration of possession
2. Specific performance of contracts
3. Injunction
4. Declaratory Relief
5. Rectification of instruments.
6. Recission of contract
7. Cancellation of instruments
68. Types of Injunctions
1. Temporary
2. Perpectual
3. Mandatory
69. Define movable property and Immovable property.
 According to S-22 of IPC , Corporeal property of every description, except
Land and things attached to the earth or permanently fastened to anything which is
attached to the earth…….movable property.
A property which is not movable is immovable property i.e. crop in farm, doors etc.
70. What is the meaning of specific performance.
Specific performance is the performance of a contract exactly or substantially
according to its terms. S-10 and11 of the Specific Relief Act,1963 relate to the
contracts , which can be specially enforced.