 QUESTION BANK (MCQ) CSEET
 Indian Contract Act
1.Proposal when accepted it becomes
a) Offer b) Agreement
c) Contract d) Promise
2.Promise/ offer/Proposal is defined under section
a)2(a) b)2(c)
c)2(h) d)2(b)
3. Rules governing offer are:-
 a)clean, definite, complete and final
 b)Offer must be communicated to the offeree
 c)Offer may be expressed or implied
 d)All of the above
4. Counter offer means
 a)Lapse of offer b)Offer of offer
 c)Promise d)None of the Above
5.Revocation of offer by offer is done
 a)Before Acceptance b)After Acceptance
 c)Before Lapse of time d)None of these
6.Acceptance means
 a)Offer+ Acceptance b)Offer+ Rejection
 c)Promise+ Consideration d)Assenting
7.Acceptance is defined under which section
 a)2(b) b)2(h)
 c)2(f) d)2(e)
8. Promise + Consideration becomes
 a)Agreement b)Contract
 c)Offer d)Acceptance
9.Contract in section2(h) says
 a)Agreement+ Enforceability b)Promise+ Consideration
 c)Offer+ Acceptance d) All of the above
10.An agreement enforceable by law
 a)Void Agreement b)Voidable Contract
 c)Void Contract d)Valid Agreement
11. Contract (valid) Includes
 a)Rights b)Obligations
 c) Coordination d)Both(a) and (b)
12.Every Contract is
 a)Valid b)Agreement
 c)Unenforceable d)All of the above
13.Valid contract is under
 a)Section 12 b)Section 15
 c)Section 10 d)Section 9
14.Something in same sense/Meeting of mind means
 a)Consensus-ad-idem b)Quid-pro-quo
 c)Both (a) and (b) d)Neither (a) Nor (b)
15.Essentials for valid Contract are
 a) Consideration
 b)Parties of contract are legally capable of contracting
 c)Agreement is capable of performing
 d)Genenuine consent of parties
 e)All of the above
16. An Agreement not enforceable by law
 a)Void-ab-initio b)Void agreement
 c)Both (a) and (b) d)None of these
17.A Contract ceases to be enforceable
 a)Voidable b)Void
 c)Valid d)Illegal
18.A Contract in which aggrieved party is enforceable is
 a)Voidable b)Valid
 c)Illegal d) Collateral
19.All Illegal agreement are
 a)Void b)Voidable
 c)Valid d)Void Contract
20.A Contract in which both the parties complete their obligations?
 a)Executory b)Executed
 c)Unilateral d) Bilateral
21. A contract in which the obligations of both the parties are pending
 a)Executory b)Executed
 c)Unilateral d)Bilateral
22.A contract in which one party has completed its obligation
 a)Unilateral b)Bilateral
 c)Multilateral d)Executed
23.Consideration means
 a)Something in return b)quid-pro-quo
 c)Only (a) d)Both (a)and(b)
24.Consideration Will must be at the desire of
 a)Promisor b)Promisee
 c)Any other person d)All of the above
25.Consideration may move from
 a)Promisor b)Promisee
 c)Any other person d)Both(b)and(c)
26.Rules Governing Consideration are
 a)Mutual Trust, Real, Vague, Clean
 b)Adequate and lawful
 c)Definite-Consideration must be something more than what Promisee is
bound to do
 d)All of the above
27.Rules that do not govern the consideration
 a)Natural Love and affection b)Time bark barred debt
 c)Agent Principle d)All of the above
28. Stranger to a contract can’t Sue means
 a)Flaws in contract b)Fraud
 c)Privity of contract d)None of these
29.Flaws of contract is defined in
 a)Section 11 b)Section 1o
 c)Section 15 d)Section 20
30.Fraud is defined in section
 a)Section 11 b)Section 17
 c)Section 10 d)Section 20
31. Fraud is a
 a)Void agreement b)Voidable Contract
 c) Void contract d)None of these
32.Terms of fraud include
 a)Fraudulent b)Suggestion
 c)Omission d)All of the above
33.Contract Uberrimae fidei includes
 a)Insurance b)Medical
 c)Company and family prospects d) All of the above
34.Committing of threatening includes
 a)Coercion b)Under influence
 c)Mispresentation d) None of these
35.Mental Torture, Fiduciary relationship, Dominating,
 Mental Harassment includes in
 a)Under influence b)Coercion
 c)Mistake d)Fraud
36.Mistake leads to
 a)Voidable b)Valid
 c)Void d)Illegal
37.Mistake law leads to
 a)Valid contract b)Void Agreement
 c)Voidable d)None of these
38.Agreement opposed to public policy
 a)Void b)Valid
 c)Voidable d)None of these
39.Situation in which agreement is void
 a)Mistake of fact
 b)Minor/Disqualified by law
 c)Impossible Agreement
 d) All of the above
40.All Wagering Agreement are
 a) Void b)Valid
 c)Voidable d) None
41.A contract which depends on happening of future or not is
 a)Quasi b)Contingent
 c)Valid d)All of the above
42.Contingent contract is
 a)Valid b)Void
 c)Illegal d)None
43.Contract where obligation of law are implied
 a)Quasi b)Contingent
 c)Illegal d)None of these
44.Situation where discharge of contract takes place
 a)Alteration and Novation b)Recession-Remission
 c)Both (a) and (b) d)None of these
45.The maximum time for discharge of contract is
 a)2 years b)3 years
 c)5 years d)1 year
46.Termination of contract can be done
 a)Discharge of Impossibility
 b)Discharge by Illegality
 c)Discharge by Frustration
 d)All of the these
47.Breach of contract- You(Aggrieved party)can
 a)Cancel the contract b)Claim the damages
 c)Wait till due date d)All of these
48.Cancel the contract and refuse further performance of the contract means
 a)Breach of contract b)Rescind of the contract
 c)Anticipatory contract d)None of these
49.The party can sue for damages in
 a)Breach of contract b)Privity of contract
 c)Either (a) or (b) d)None of these
50.Remedies for breach of contract are
 a)Sue for specific performance b)Sue for an injunction
 c)Sue on quantum merit d)All of these
51.Contract of indemnity includes
 a)Indemnifier b)Indemnified
 c)Creditor d)Both(a) and (b)
52.A party which bears our losses
 a)Surety b)Debtor
 c)Indemnifier d) Indemnified
53.A part whose losses are beared
 a)Indemnified b)Surety
 c)Debtor d)None of these
54.A party/person who gives loan
 a)Debtor b)Surety
 c)Creditor d)None
55.A person/party which gets loan
 a)Debtor b)Surety
 c)Indemnifier d)None
56.A person/party which pays creditor on behalf of debtor
To creditors
 a)Creditor b)Surety
 c)Creditor d)None
57.A contract that has technical defect
 a)Valid contract b)Contingent
 c)Unenforceable d)Enforceable
58.Agency consist of
 a)Principle b)Agent
 c)Sub agent d)All of these
59.Implied Agency includes
 a)Agent by Estoppel b)Agent of necessity
 c)Agent of Ratification d) All of these
60.Agency by Estoppel is a
 a)Void contract b)Valid contract
 c)Illegal Agreement d)None of these
61. Employees get and Agent gets
 a)Salary and wages b)Wages and commission
 c)Salary and Commission d)None of these
62.Agent is liable for
 a)Sub agent b)Agent
 c)Both d)None
63.Principle is liable for
 a)Agent b)Sub Agent
 c)Both d)None
64. Broker needs from Principal
 a)Salary b)Wages
 c)Brokerage d)None
65.An agent who works under principal and meet all bad debt as principle
charges him extra commission is
 a)Sub Agent b)Del Creder Agent
 c)Broker d)Mercantile Agent
66.An Agent who sales goods on auction on behalf of principle
 a)Broker b)Principle
 c)Auctioneer d)Banker
67. Is Banker also an Agent
 a)True b)False
 c)Partly True d)None of these
68.A person/Agent who sells goods and purchase goods freely
 a)Broker b)Sub Agent
 c)Del Creder d)Mercantile Agent
69.Principal are always liable to their agent in general
 a)True b)False
 c)Partly True d)Partly False
70.Agent has to strictly follow the guidance of principal
 a)True b)False
 c)Partly True d)Partly False
71.Agent has to disclose to the Principal
 a)Secret Profit b)Securities
 c)Surplus d)Both (a) and (c)
72.What are the exceptions when Principal comes to know about secret profit
by the agent
 a)Dismiss the agent without notice
 b)Recover amount of secret profit
 c)Refuse to pay the agent his remuneration
 d)All of the above
73.Execeptions where Agent can delegate the work given to him by principal
sanction
 a)Where the trade custom or usage delegation
 b)Emergency
 c)Where Principal knows that Agent intends to delegate
 d)All of the above
74.Implied Authority is also called as
 a)Apparent b)Ostensible
 c)Both (a) and (b) d)None
75. Which of the following is the right of Agent
 a)Remuneration b)Wages/Salary
 c)Commission d)Both (a) and (c)
76.Termination of Agency Includes
 a)By the Performance of contract of Agency
 b)Death
 c)Revocation of Agent or Principal
 d)All of the Above
77.Features of E contract
 a)Non paper base b)Electronic form
 c)Both d)None
78. The Information Technology Act was introduced in the year
 a)2000 b)2005
 c)2001 d)2002
79. Necessary Ingredients of Electronic Contract are
 a)Offer/Acceptance b)Lawful Consideration
 c)Intention to create legal relation d)All of these
ANSWERS:
1 d 11 d 21 a 31 b 41 b 51 d 61 c 71 d
2 a 12 b 22 a 32 d 42 a 52 c 62 a 72 d
3 d 13 c 23 d 33 d 43 a 53 a 63 c 73 d
4 b 14 a 24 a 34 b 44 c 54 c 64 c 74 c
5 a 15 d 25 d 35 a 45 b 55 a 65 b 75 d
6 c 16 c 26 d 36 c 46 d 56 b 66 c 76 d
7 a 17 b 27 d 37 a 47 d 57 c 67 a 77 c
8 a 18 a 28 c 38 a 48 b 58 d 68 d 78 a
9 a 19 a 29 a 39 a 49 a 59 d 69 a 79 d
10 d 20 b 30 b 40 d 50 d 60 b 70 a