CMA Foundation Void and Voidable Agreements Quizzes 0 Created on November 29, 2023 By admin CMA Foundation Chapter 2 Unit 2 Void and Voidable Agreements, No Consideration No Contract Quiz 1 1 / 16 In which of the following cases, the rule of restitution by a minor person is allowed? Where the other party is aware of his minority Where the minor has misrepresented his age Where justice does not require the return of the property or money by the minor All of these. 2 / 16 Under which of the following situations, does a contract become void? In a contingent contract, when the event becomes impossible Agreements the consideration of object of which is unlawful When the act becomes impossible or illegal after the contract is executed, without any fault on the part of the promissory All of the above. 3 / 16 Which of the following is Void Contract ? Agreement the meaning of which is certain Agreement with unlawful consideration Contract entered under coercion Agreement with inadequate consideration, if inadequacy is not supported by free consent 4 / 16 X agrees to pay ‘Y’ Rs.5,000 if Y delivers a judgement in his favour in a suit. ‘Y’ does so but X refuses to pay any money. In this context which one of these gives the correct legal position of the agreement? The agreement is void being opposed to public policy The agreement is valid and enforceable The agreement is voidable at the option of ‘Y’ The agreement is void being a wagering agreement 5 / 16 A promised to obtain an employment to B in a public office and B promised to pay Rs.5,000. This agreement is Opposed to public policy Illegal object & consideration Void being in the nature of trafficking in public offices All of these. 6 / 16 Mr. Agarwal agreed to sell and deliver 2,500 jute bags from India to Mr. Huxley at Geneva knowing the fact that direct or indirect export of jute bags was prohibited by the Government of India. Consequently, the bags were not delivered at Geneva as agreed. The contract is valid and hence enforceable The contract is enforceable subject to approval of the Government of India The contract is void as forbidden by law The contract is voidable. 7 / 16 A borrowed Rs.10,000 from B and start a gambling house. Later on, A refused to return the money to B. B can not recover the money from A B can recover the money from A B can recover the money from A if the purpose was not known to him None of the above. 8 / 16 Doctrine of restitution can be invoked in the case of : Quasi-contracts Void agreements Collateral contracts Contingent contracts. 9 / 16 In which of the following agreements, restraint of trade is valid? Agreement with buyer of goodwill Trade combinations, to the extent they do not create monopoly or opposed to public policy Agreements under the Partnership Act, 1932 All of the above 10 / 16 M, a seller of imitation jewellery, sells his business to N and promises, not to carry on business in imitation jewellery and real jewellery. The agreement is: Fully valid Valid with regard to imitation jewellery, and void as regards real jewellery Void with regard to imitation jewellery, and valid as regards real jewellery Wholly void 11 / 16 A sum of money was agreed to be paid to the father in consideration of giving his daughter in marriage. The agreement is void on grounds of being: Restraint of marriage Marriage brokerage contract Restraint of personal liberty Restraint of legal proceedings 12 / 16 Mr. M, at the time of borrowing money agreed that, he will not leave his job, borrow money, dispose of his property, or shift his residence without the lender’s consent. In the context of the situation, which of following statements is true? The restrictions on the borrower are to be implemented as per the agreement The contract is viodable at the option of the lender The contract is void, as it unduly restricted the freedom of the borrower The contract is viodableThe lender can demand excess money in case of violation of any restriction. 13 / 16 An agreement is void if it is opposed to public policy. Which of the following does not cover this head? Trading with an enemy Trafficking in public offices Marriage brokerage contracts Contracts to do impossible acts 14 / 16 A says to B that he will give Rs.1,000 to him if it rains and if doesn’t rain B will give him Rs.1,000. Which type of contract is this? Wagering contract Contingent contract Valid contract Quasi contract 15 / 16 An agreement in restraint of legal proceedings is void. Such restraint does not cover an agreement which: cuts short the period of limitation restricts absolutely the parties from enforcing their legal rights Discharges a party from liability or extinguishes the rights of a party Provides for a reference to arbitration instead of court of law 16 / 16 In which of the following agreements, restraint of trade is valid? Agreement with buyer of goodwill Trade combinations, to the extent they do not create monopoly or opposed to public policy Agreements under the Partnership Act, 1932 All of the above Your score isThe average score is 0% LinkedIn Facebook VKontakte 0% Restart quiz 0 Created on November 29, 2023 By admin CMA Foundation Chapter 2 Unit 2 Void and Voidable Agreements, No Consideration No Contract Quiz 2 1 / 17 Payment of remuneration to an advocate depending upon the winning of the case is Void contract Voidable contract A contingent contract A quasi contract. 2 / 17 A agrees to sell to B a horse for Rs.20,000 if it wins a race and Rs.500 if it does not. The horse wins the race. A can compel B to buy the horse at Rs.20000 B can compel A to sell the horse at Rs.20000 The agreement is wager and so is void None of the above. 3 / 17 A contingent contract is valid void voidable illegal. 4 / 17 P agrees to sell a certain piece of land to Q, in case he succeeds in his court case concerning that land this is an example of Executed Contract Wagering Contract Voidable Contract Contingent Contract. 5 / 17 Which of these is / are wagering agreement Athletic competitions A crossword competition A lottery prize Share purchase and sale with delivery. 6 / 17 A transaction collateral to a wagering agreement is Enforceable Illegal Voidable Void. 7 / 17 In case of void agreements, collateral transactions are Also void Unenforceable Not affected Illegal. 8 / 17 A and B agree that A shallsell his house to B for a sum of Rs.1 lakh provided he used it for residential purposes and would charge Rs.2 lakhs if he uses for gambling. It is further agreed between them that the consideration shall be paid after a year of registration of the house in the name of B. A executes a transfer in favour of B. After six months, B uses the “house for gambling purposes. A can recover only Rs.1 laA can recover only Rs.1 lakh A can recover Rs.2 lakh A can rescind the contract and get back the house restored in his own name None of the above 9 / 17 Where an agreement consists of two parts one legal and other illegal, and the legal part is separable from the illegal one, such legal part is: Void Valid Voidable Illegal 10 / 17 If the illegal part of a contract is inseparable from legal part of the contract, the contract becomes: Void Voidable Valid Unenforceable 11 / 17 Illegal agreements are forbidden under law unenforceable under the law Voidable Both (a) and (b). 12 / 17 A contract of insurance is Contingent Contract Wagering agreement Contract of guarantee Unilateral agreement. 13 / 17 ……………….. Contract is good in substance but suffers from some technical defect. Valid Illegal Voidable Unenforceable 14 / 17 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, is a : Valid contract Unenforceable contract Voidable contract Void agreement 15 / 17 A tells B that he will file a case against him for theft. B tells to A that he will give the half of the market price of the theft. This offer is: Void Voidable Valid None of these 16 / 17 X Ltd. the organizers of a crossword competition made a rule that (1) in matters arising in the competition, the editor’s decision shall be final and cannot be challenged in court of law (2) that at the expiration of three months from the publication of the prize list, X Ltd. shall not be liable to pay any claim unless a suit for it is then pending. Both the rules are valid Rule No 1 only is not valid Rule No 2 only is not valid Both the rules are invalid. 17 / 17 X Promises to pay Z Rs.5,00,000 if Z can make his dead wife alive. Such an agreement is : Valid Void Voidable Unenforceable Your score isThe average score is 0% LinkedIn Facebook VKontakte 0% Restart quiz
