UPSC Law Optional, Paper I and II

Contract and Mercantile Law UPSC Law Optional PYQs, Page 8

UPSC Law Optional Contract and Mercantile Law previous year questions 216-246 of 277, arranged for doctrine revision, case-law planning, and answer writing.

277 questions216-246 on this page9 pages

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Answer-writing coverage

What this archive covers

formation, consent, breach, remedies, agency, sale of goods, partnership, negotiable instruments, and commercial obligations.

Paper I source PDF Paper II source PDF Related law MCQs

2006Paper IIQ7(a)Section B

Question 216

What are the circumstances under which a party to a contract can plead impossibility as an excuse from performing his contractual obligation?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2006, Paper II, Q7(a), source page 21.

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2006Paper IIQ7(b)Section B

Question 217

(i) 'Though a minor cannot be a partner in a firm, but he may be admitted to the benefits of the partnership.' Explain the rights and liabilities of a minor in the light of this statement. (ii) There are two partners in a firm. One of them dies. Will it result in dissolution of the firm?

Capacity, Minor and Necessaries

Source reference: UPSC Law Optional 2006, Paper II, Q7(b), source page 21.

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2006Paper IIQ8(a)Section B

Question 218

'If you contract to sell peas, you cannot oblige a party to take beans. If the description of the article tendered is different in any respect it is not the article bargained for, and the other party is not bound to take it.' Comment.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2006, Paper II, Q8(a), source page 21.

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2006Paper IIQ8(b)Section B

Question 219

(i) State the procedure laid down in the Arbitration and Conciliation Act, 1996 for conciliation in family disputes. (ii) Discuss the essentials of a hire-purchase agreement.

Arbitration and Commercial Procedure

Source reference: UPSC Law Optional 2006, Paper II, Q8(b), source page 21.

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2005Paper IIQ5(a)Section B

Question 220

All contracts are agreements but all agreements are not contracts". Explain.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2005, Paper II, Q5(a), source page 17.

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2005Paper IIQ5(b)Section B

Question 221

A contract without consideration is void but there are some contracts, which even though made without consideration, are valid". Discuss.

Formation, Consideration and Intention

Source reference: UPSC Law Optional 2005, Paper II, Q5(b), source page 17.

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2005Paper IIQ5(c)Section B

Question 222

Enumerate and explain briefly those relations in the Indian Contract Act which resemble those created by a contract.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2005, Paper II, Q5(c), source page 17.

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2005Paper IIQ5(d)Section B

Question 223

The authority of an agent means his capacity to bind the principal". Discuss.

Agency and Representation

Source reference: UPSC Law Optional 2005, Paper II, Q5(d), source page 17.

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2005Paper IIQ6(a)Section B

Question 224

The Indian Partnership Act has effectively ensured the registration of firms without making it compulsory". Comment.

Partnership and Business Relations

Source reference: UPSC Law Optional 2005, Paper II, Q6(a), source page 17.

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2005Paper IIQ7(a)Section B

Question 225

Define and distinguish between a 'Condition' and a 'Warranty'. Under what circumstances can a breach of condition be treated as a breach of warranty?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2005, Paper II, Q7(a), source page 17.

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2005Paper IIQ7(b)Section B

Question 226

A sells his motor car to B, one cylinder of which is slightly cracked to A's knowledge. B examined the car but failed to detect the time of purchasing the car. Later on, the defect comes to the knowledge of B. Can he rescind the sale and get back the price paid by him?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2005, Paper II, Q7(b), source page 17.

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2005Paper IIQ8(a)Section B

Question 227

In most cases reference to arbitration shuts out the jurisdiction of the courts, except as provided in the Act, and since criminal courts cannot be deprived of their jurisdiction to try criminals, no criminal matter can be referred to arbitration". Comment.

Arbitration and Commercial Procedure

Source reference: UPSC Law Optional 2005, Paper II, Q8(a), source page 15.

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2005Paper IIQ8(b)Section B

Question 228

In any event, adaptability and access to expertise are hallmarks of arbitration". Discuss the advantages of arbitration over litigation.

Arbitration and Commercial Procedure

Source reference: UPSC Law Optional 2005, Paper II, Q8(b), source page 15.

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2004Paper IIQ1(d)Section A

Question 229

Distinguish between tortious liability and contractual liability.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q1(d), source page 13.

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2004Paper IIQ5(a)Section B

Question 230

Whether an agreement without consideration is void? Discuss the rule with exceptions, if any.

Formation, Consideration and Intention

Source reference: UPSC Law Optional 2004, Paper II, Q5(a), source page 14.

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2004Paper IIQ5(b)Section B

Question 231

The strict adherence to the theoretical consideration that a contract made under mistake as to the identity of parties or identity of the subject matter is void, would lead to absurd result." Do you agree with this statement? Give reasons.

Formation, Consideration and Intention

Source reference: UPSC Law Optional 2004, Paper II, Q5(b), source page 14.

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2004Paper IIQ5(c)Section B

Question 232

The contract of sale is consensual and bilateral." Discuss. How does Sale differ from Hire Purchase Agreement?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q5(c), source page 14.

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2004Paper IIQ5(d)Section B

Question 233

In determining whether a group of persons is or is not a firm, or whether a person is or is not a partner in a firm, regard shall be had to the real relations between the parties as shown by all the relevant facts taken together." Do you agree with this statement? Give reasons.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q5(d), source page 14.

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2004Paper IIQ6(a)Section B

Question 234

Distinguish between Holder and Holder in due Course. Support your answer with decided cases.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q6(a), source page 15.

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2004Paper IIQ6(b)Section B

Question 235

What are various kinds of Indorsement recognised by law? Discuss the effect of forged indorsement. Give reasons.

Negotiable Instruments

Source reference: UPSC Law Optional 2004, Paper II, Q6(b), source page 15.

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2004Paper IIQ7(a)Section B

Question 236

Critically examine the principle of Caveat Emptor, highlighting its exceptions in the light of statutory provisions and judicial pronouncements.

Public Policy and Validity

Source reference: UPSC Law Optional 2004, Paper II, Q7(a), source page 15.

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2004Paper IIQ7(b)Section B

Question 237

Discuss the consequences of non registration of partnership firm.

Partnership and Business Relations

Source reference: UPSC Law Optional 2004, Paper II, Q7(b), source page 15.

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2004Paper IIQ8(a)Section B

Question 238

Discuss the scope of Section 70 of the Indian Contract Act, 1872. Can a State recover cost of training on failure of the defendant to join the service?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q8(a), source page 15.

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2004Paper IIQ8(b)Section B

Question 239

In a 'standard form contract', it is likely that the party having stronger bargaining power may insert such exemption clauses in the contract that his duty to perform the main contractual obligation is thereby negatived." Explain, and discuss the various rules which have been evolved to protect the weaker party.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2004, Paper II, Q8(b), source page 15.

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2003Paper IIQ5(a)Section B

Question 240

Jurisdiction of a court to decide disputes arising out of contractual relations cannot be ousted by an agreement between the parties." Discuss.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2003, Paper II, Q5(a), source page 11.

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2003Paper IIQ5(b)Section B

Question 241

A deceit which does not deceive is no fraud." Discuss.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2003, Paper II, Q5(b), source page 11.

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2003Paper IIQ5(d)Section B

Question 242

The right of stoppage of goods in transit is the rule of natural justice and is recognised in sale of goods". Discuss.

Sale of Goods and Commercial Transfer

Source reference: UPSC Law Optional 2003, Paper II, Q5(d), source page 11.

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2003Paper IIQ6(a)Section B

Question 243

Discuss in detail the principle of promissory estoppel and its application in respect of contractual obligations. Explain the position of this principle as against the Government and its agencies.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2003, Paper II, Q6(a), source page 11.

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2003Paper IIQ6(b)Section B

Question 244

'A' makes an offer to purchase goods in possession of 'B' who is the agent of 'C but who has no authority to make any contract of sale. The offer is accepted by 'B' on behalf of 'C. 'B' writes to 'C for ratification of the contract. Before the ratification 'A' withdraws the offer, 'C ratifies the contract made by 'B'. Has the contract come into existence in this case? If 'B' repudiates the contract before 'C comes to know of it, and subsequently 'C ratifies the contract and sues to enforce it, what will be the consequences?

Agency and Representation

Source reference: UPSC Law Optional 2003, Paper II, Q6(b), source page 11.

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2003Paper IIQ7(a)Section B

Question 245

Examine the reasons which make it necessary that there should be a concept like "holder in due course" in the law of negotiable instruments. State the characteristics of a "holder in due course" and his privileges and protections under the Negotiable Instruments Act, 1881.

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2003, Paper II, Q7(a), source page 11.

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2003Paper IIQ7(b)Section B

Question 246

A offers to sell his machinery to 'B' for a fixed price. 'B' agrees to buy the same subject to the condition that 'A' should get it repaired in order to put it into its running condition. 'A' replies that 'B' should himself get the machinery repaired and pay him the agreed price less the actual cost of repairs. While being repaired, the machinery is destroyed without any fault of the mechanic. 'A' sues 'B' for the price of the machinery. Will he succeed?

Contract and Mercantile Law - General

Source reference: UPSC Law Optional 2003, Paper II, Q7(b), source page 11.

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What this archive covers

What are the circumstances under which a party to a contract can plead impossibility as an excuse from performing his contractual obligation?

(i) 'Though a minor cannot be a partner in a firm, but he may be admitted to the benefits of the partnership.' Explain the rights and liabilities of a minor in the light of this statement. (ii) There are two partners in a firm. One of them dies. Will it result in dissolution of the firm?

'If you contract to sell peas, you cannot oblige a party to take beans. If the description of the article tendered is different in any respect it is not the article bargained for, and the other party is not bound to take it.' Comment.

(i) State the procedure laid down in the Arbitration and Conciliation Act, 1996 for conciliation in family disputes. (ii) Discuss the essentials of a hire-purchase agreement.

All contracts are agreements but all agreements are not contracts". Explain.

A contract without consideration is void but there are some contracts, which even though made without consideration, are valid". Discuss.

Enumerate and explain briefly those relations in the Indian Contract Act which resemble those created by a contract.

The authority of an agent means his capacity to bind the principal". Discuss.

The Indian Partnership Act has effectively ensured the registration of firms without making it compulsory". Comment.

Define and distinguish between a 'Condition' and a 'Warranty'. Under what circumstances can a breach of condition be treated as a breach of warranty?

A sells his motor car to B, one cylinder of which is slightly cracked to A's knowledge. B examined the car but failed to detect the time of purchasing the car. Later on, the defect comes to the knowledge of B. Can he rescind the sale and get back the price paid by him?

In most cases reference to arbitration shuts out the jurisdiction of the courts, except as provided in the Act, and since criminal courts cannot be deprived of their jurisdiction to try criminals, no criminal matter can be referred to arbitration". Comment.

In any event, adaptability and access to expertise are hallmarks of arbitration". Discuss the advantages of arbitration over litigation.

Distinguish between tortious liability and contractual liability.

Whether an agreement without consideration is void? Discuss the rule with exceptions, if any.

The strict adherence to the theoretical consideration that a contract made under mistake as to the identity of parties or identity of the subject matter is void, would lead to absurd result." Do you agree with this statement? Give reasons.

The contract of sale is consensual and bilateral." Discuss. How does Sale differ from Hire Purchase Agreement?

In determining whether a group of persons is or is not a firm, or whether a person is or is not a partner in a firm, regard shall be had to the real relations between the parties as shown by all the relevant facts taken together." Do you agree with this statement? Give reasons.

Distinguish between Holder and Holder in due Course. Support your answer with decided cases.

What are various kinds of Indorsement recognised by law? Discuss the effect of forged indorsement. Give reasons.

Critically examine the principle of Caveat Emptor, highlighting its exceptions in the light of statutory provisions and judicial pronouncements.

Discuss the consequences of non registration of partnership firm.

Discuss the scope of Section 70 of the Indian Contract Act, 1872. Can a State recover cost of training on failure of the defendant to join the service?

Jurisdiction of a court to decide disputes arising out of contractual relations cannot be ousted by an agreement between the parties." Discuss.

A deceit which does not deceive is no fraud." Discuss.

The right of stoppage of goods in transit is the rule of natural justice and is recognised in sale of goods". Discuss.

Discuss in detail the principle of promissory estoppel and its application in respect of contractual obligations. Explain the position of this principle as against the Government and its agencies.

Examine the reasons which make it necessary that there should be a concept like "holder in due course" in the law of negotiable instruments. State the characteristics of a "holder in due course" and his privileges and protections under the Negotiable Instruments Act, 1881.

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