Introducing our Transfer Of Indian Contract Act in Law Top 100 MCQ with Free Exam! The Indian Contract Act is a comprehensive legislation that governs the formation and enforcement of contracts in India.

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Indian Contract Act Law 100 MCQ With Free Exam SET:-1

Q1. When the court is unable to assess damages, the aggrieved party may be awarded:

(A) Nominal damages
(B) Exemplary damages
(C) Actual damages
(D) Liquidated damages

Answer: Nominal damages

Q2. An authority given by two or more principals can be terminated

(A) By notice of revocation or renunciation given by or to all the principals
(B) By notice of revocation or renunciation given by or to anyone of the principals
(C) By notice of revocation or renunciation given by or to both the principals if there are only two principals
(D) None of the above

Answer: By notice of revocation or renunciation given by or to all the principals

Q3. A agrees to pay ‘B’ a sum of money, if ‘B’ marries ‘C’. ‘C’ marries ‘D’. The agreement is:

(A) Void
(B) Voidable
(C) Legal
(D) Illegal

Answer: Void

Q4. Offer as defined under section 2(a) is

(A) Communication from one person to another
(B) Suggestion by one person to another
(C) Willingness to do or abstain from doing an act in order to obtain the assent of other thereto
(D) None of the above

Answer: Willingness to do or abstain from doing an act in order to obtain the assent of other thereto

Q5. The doctrine of impossibility of performance rendering contracts void is based on

(A) Implied term
(B) Just & reasonable solution
(C) Supervening impossibility
(D) Unjust enrichment

Answer: Supervening impossibility

Q6. An agreement in restraint of trade under Section 27 of the Indian Contract Act, 1872 is

(A) Valid
(B) Voidable
(C) Void
(D) Enforceable

Answer: Void

Q7. Which of the following act will not amount to ‘fraud’ within the meaning of Section 17 of The Indian Contract Act ?

(A) The active concealment of a fact by one having knowledge or belief of the fact
(B) A promise made without any intention of performing it
(C) The suggestion, as a fact, of that which is true, by one who does believe it to be true
(D) None above

Answer: The suggestion, as a fact, of that which is true, by one who does believe it to be true

Q8. Moses v. Macferlan (1555-1774) is a case relating to

(A) Theory of unjust enrichment
(B) The right of lien
(C) Test of agency
(D) Doctrine of frustration

Answer: Theory of unjust enrichment

Q9. X’ in consideration of Rs. 10,000 lent by Y & Z, provides Y & Z jointly to repay them that sum with interest on a specified day. Y dies. The right to claim the performance

(A) Is available to Y’s representatives alone
(B) Is available to Z alone
(C) Is available to Y’s representatives & Z both
(D) Is available to Y’s representatives & after the death of Z, his representatives

Answer: Is available to Y’s representatives & Z both

Q10. Indian Contract Act:- Gods displayed in showcase of a shop with price tag is –

(A) Invitation to offer
(B) Counteroffer
(C) Communication
(D) None of these

Answer: Invitation to offer