WorksheetsDIGdarshika
Total questions: 43
Worksheet time: 32mins
Commercial Law is
the wide body of law that relates to business and trade between business entities and between people engaged in business.
a branch of the law that deals with the relations between individuals or institutions, rather than relations between these and the state.
is an organization created by one or more natural persons to carry on a trade or business.
treaties or agreements between countries.
An agreement enforceable by law
Agreement
Contract
Offer
Contingent contract
Person who gives offer
Offeror
Offeree
Acceptor
Bailor
Person below the age of 18 years
Major
Minor
Lunatic
Drunkard
Person below the age of 18 years
Major
Minor
Lunatic
Drunkard
Agreement which can be enforced or cancelled at the option of aggrieved party is called
Valid contract
Voidable contract
Bilateral contract
Unilateral contract
Which of the following are NOT ITT?
Advertisement
Tender
Acceptance
Auction
One of the ways to terminate an offer is
Fulfill the condition precedent to acceptance
Offeree died
Giving notice
The time has not lapse
Which of the following is NOT a way to discharge a contract?
Hall burnt down
One party breaches the duty
Parties have performed the contract
Parties did not bankrupt
How to terminate an acceptance?
Offeree sends acceptance letter to offeror
Offeror sends notice to terminate an acceptance before offeree receives acceptance letter
Offeree send notice of termination before offeror receives acceptance letter
Offeror died or insane
What is required to form a legally binding contract?
Offer, Acceptance, Consideration, Intention, Certainty.
Duty, Breach, Causation, Damages
Offer, Acceptance, Collateral, Sufficiency.
Invitation to treat, Offer, Counter Offer, Acceptance.
What is the definition of an offer?
An expression of willingness to negotiate.
A declaration that one party will contract with another.
Expression of willingness to contract with the party to whom it is addressed, as soon as the latter accepts its terms.
An invitation for other parties to consider whether they are able to purchase the goods/services.
What is the definition of an invitation to treat?
Select all options that apply!
An invitation to another party to negotiate.
An indication of one party's willingness to enter into a contract with the party to whom its addressed as soon as the latter accepts its terms.
It is not an offer, it falls short of being an offer.
An invitation to the other party to make an offer.
Which of the following cases illustrate an invitation to treat?
Select all that apply!
Carlil v Carbolic Smokeball Company [1892] EWCA Civ 1.
Fisher v Bell [1961] 1 QB 394.
Partridge v Crittenden [1968] 2 All ER 421 (QB).
Donoghue v Stevenson [1932] UKHL 100.
Grainger & Son v Gough (Surveyor of Taxes) [1896] AC 325 HL.
Which of the following describes a revocation or termination of an offer?
Rejection
Failure to satisfy or perform conditions.
Counter offer or rejection of the offer.
The offer may be terminated by passage of time or death of the offeree/offeror
All of the above are correct.
What is a counter offer?
A further offer made by the original offeror.
Where a party seeks to introduce a secondary or ancillary agreement to the original contract.
Where a party seeks to change or vary terms of the original offer or seeks to introduce a new term(s).
A rejection and withdrawal of the original offer.
What is the general rule of the postal acceptance rule?
The offer will be accepted once the letter is received by the offeror.
When the seal of the letter is broken by the offeror.
When the letter is posted by the offeree.
When the offeree gets notification from the Royal Mail or Courier that his letter has been received.
Which of the following is NOT a function of the commercial banks?
Receiving deposits
Issuing Loans
Rediscounting of Bill
Safe custody to Valuables
For the process of credit creation all the deposits (liabilities) of the bank are in the form of _____________
Demand deposits
Time deposits
Saving deposits
Foreign currency deposits
For the bank, the amount of money in the account of the accountholder is called:
Profit
Deposit
Interest
Loan
The part of deposits kept with the central bank is called:
Cash reserve
Margin
Interest rate
All of these
Which of the following functions are performed by the commercial banks?
Issuance of currency notes
Rediscounting of bills
Preparation of monetary policy
Credit creation
Commercial banks perform the following functions:
Primary Functions
Agency Functions
General Utility Functions
Tertiary Functions
The essential functions that a financial institution must perform in order to become a bank are:
Acceptance of chequable deposit
Clearing Agent
Lender of last resort
Lending
Demand deposit are also known as ___________
Saving Deposit
Fixed Deposit
Time Deposit
Current Deposit
A customer prefers Overdraft to a loan because
Overdraft facility is provided for free by the bank
Customer has the facility of borrowing only as much as he/she requires
Bank pays an interest for the Overdraft facility
Which one of the following is a party to a contract of guarantee?
Principal Debtor
Creditor
Surety
Pawnor
Which of the following is a bailment plus agreement to sell ?
Pledge
Hire purchase
Mortgage
None of the above
According to section 71 of the Contract Act, a person who finds goods belonging to another and takes them into his custody, is subject to the same responsibility as a _____________
Bailor
Bailee
Surety
Pawnor
Lien means ______________
A charge
A particular status
A guarantee
A legal claim to hold property as security
If the goods are lent free for the bailee for his use it is known as ____________
Commodation
Gratuitous Bailment
Non - Gratuitous Bailment
Deposition
Bailment is defined under section ___________ if Indian contract Act 1872.
144
146
148
149
Bailment is defined under section ___________ if Indian contract Act 1872.
144
146
148
149
Liability of surety is _______________
Independent on default
Conditional on default
Either conditional or independent
None of the above
Surety is a person who ______________
Who gives the guarantee
To whom the guarantee is given
In respect of whose default the guarantee is given
None of the above
A contract of Guarantee is a ___________ agreement.
Bipartite Agreement
Tripartite Agreement
Either A or B
None of these
A contract of Indemnity is ______________
Void Agreement
Quasi Contract
Contingent Contract
Wagering Contract
In a contract of Indemnity there are _______________
3 parties and one contract
2 parties and 2 contracts
3 parties and 3 contracts
2 parties and one contract
In contract law, an invitation to treat is:
A valid contract
An offer that can be accepted immediately
A preliminary negotiation or invitation for others to make an offer
A legally binding commitment
What is the legal term for a contract that is missing one or more essential elements and is not enforceable by a court?
Voidable contract
Unilateral contract
Void contract
Executed contract
