Subject Experts Solutions for Chapter: Contract Law, Exercise 1: Practice Exercise

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle When two or more persons agree to do or cause to be done, (1) an illegal act or (2) an act which is not illegal by illegal means, through such an agreement such persons are said to have been engaged in a criminal conspiracy to commit an offence. It is said that no consummation of the crime to need be achieved or even attempted.

Facts 'X', 'Y' and 'Z' plan to kill 'D'. They agree that only one among them, that is 'Z', will execute the plan. In pursuance of it 'Z' buys a gun and loads it.

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle 'Wrongful gain' is gain by unlawful means of property to which the person gaining is not legally entitled. 'Wrongful loss' is the loss by unlawful means of property to which the person losing it is legally entitled.

Facts 'X' takes away Y's watch out of Y's possession, without Y's consent and with the intention of keeping it.

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle Nothing is an offence by reason that it causes, or that it is intended to cause, or that it is known to be likely to cause any harm, if that harm is so slight that no person of ordinary sense and temper would complain of such harm.

Facts 'X' takes a plain sheet of paper from Y's drawer without Y's consent to write a letter to his friend.

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle Where both the parties to an agreement are under a mistake as to a matter of fact essential to the agreement, the agreement is void.

Factual Situation Roxanne supplies designer clothes to big showrooms and famous cloth houses. Max agrees to buy a certain consignment of only pink designer clothes for his shop due to the pink coloured theme of his famous shop. Issue cropped up when the exclusive pink coloured dresses were not delivered to Max's showroom, but to some other buyer who had earlier contracted with Roxanne's store and all this was neither in the knowledge of Roxanne nor Max.

Decide whether the contract between Roxanne and Max is void?

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle Contract is an agreement entered into between the parties.

Factual Situation Ramlal was a dealer in cement. The government of India, by an order issued under the Essential Commodities Act, fixed the price of cement and also the quantity which a person can buy from the dealer, Ramlal carried on his business under this new order for sometime, but he refused to pay sales tax on his sales transactions on the ground that these were not the contracts freely entered into by him. 

Decision

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principles A servant is one who is employed to do some work for his employer (master). He is engaged under a contract of service. He works directly under the control and directions of his master. In general, the master is vicariously liable for those torts (wrongful facts) of his servant which are done by the servant in the course of his employment.

Fact 'M' appointed 'D' exclusively for the purpose of driving his tourist vehicle. 'M' also appointed 'C' exclusively for the purpose of performing the work of a conductor for the tourist vehicle. During one trip, at the end of the journey, 'C', while 'D' was not on the driver's seat, and apparently for the purpose of turning the vehicle in the right direction for the next journey drove it through the street at high speed and negligently injured 'P'.

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle Acceptance of a proposal must be absolute and unqualified.

Facts 'A' made a proposal to sell his motorcycle to 'B' for~ $25000$/-. 'B' agreed to buy it for rupees~ $24000$/-. 'A' sold his motorcycle to 'C' for~ $26000$/- the next day. 'B' sues 'A' for damages.

This question consists of legal propositions/ principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion.

Principle: An agreement, the terms of which are not certain or capable of being made certain, is void.

Facts: Sunder agreed to take Bhola's penthouse on rent for three years at the rate of Rs.1,20,000/-per annum provided the house was put to thorough repairs and the living rooms, were decorated according to contemporary style.