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Law of Contracts - II - April/May 2008 3YDC

Question Type Question  
Short What is continuing guarantee?
Short Define Pledge.
Short Define Sub-agent.
Short Distinguish between a "Condition" and "Warranty".
Short Write a note on Stoppage in transit.
Short State exceptions to "Caveat Emptor".
Short What are the consequences on non-registration of a firm?
Short "Partnership is born out of contract". Explain.
Long Explain the distinction between a contract of indemnity and a contract of guarantee.
Long Explain the duties of an Agent to the Principal and what are his rights against Principal?
Long Explain the rules relating to passing of property from the seller to the buyer in a contract for the sale of goods.
Long What are the circumstances in which a firm may be dissolved? What are the rights of creditors after dissolution?
Problem X lends his motor car to Y for a drive by him only. Y allows his daughter Z, who is an expert car driver, to drive the vehicle. Z drives the car carefully but its axle suddenly breaks and the car is damaged. Is Y liable for the damages?
Problem X picture dealer in Mumbai sends pictures to agent in Delhi, for sale and some for exhibition only. The dealer shortly afterwards revokes the agent`s authority either to sell or to exhibit the pictures and directs them to return them. But the agent pledges the pictures with a pawnbroker . Is the pledge valid?
Problem The sale of pure ghee was warranted only equal to sample. But the ghee was adulterated with 25% ground nut oil. Are the buyers bound to accept?
Problem X, Y, Z are partners, Z is sleeping partner. He retires without giving a public notice. Is he liable for the subsequent debts incurred by X and Y?
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