Deck 6: Sale of Goods Act and Contract Law

Question 1

The general rule is that the buyer of goods is responsible for his choice or selection. This doctrine is

A)ignorantia juris non excusat
B)quid pro quo
C)nemo dat quad non habet
D)caveat emptor

Answer 1

caveat emptor

Question 2

The process of identifying the goods and setting apart is called

A)identification
B)procurement
C)ascertainment
D)allocation

Answer 2

ascertainment

Question 3

'Nemo Dat Quod Non Habet' means

A)no man can pass a better title than what he himself possesses.
B)let the buyer beware.
C)void from the beginning.
D)ignorance of law is no excuse.

Answer 3

no man can pass a better title than what he himself possesses.

Question 4

According to the Sale of Goods Act 'fault' means

A)refusal to pay price
B)refusal to deliver goods
C)any wrongful act or default
D)any fraud

Question 5

An unpaid seller loses his right of lien in case of

A)delivery of goods to buyer
B)delivery of goods to carrier or wharfinger
C)tender of price by buyer
D)any of the above

Question 6

An unpaid seller can exercise his right of stoppage of goods in transit

A)by giving notice to the carrier
B)by taking actual possession of the goods
C)by notice of his claim to the bailee who is in possession of the goods
D)either (a) or (b) or (c)

Question 7

Auction sale is also known as

A)public sale
B)private sale
C)cash sale
D)none of the above

Question 8

Where the seller appoints his person to bid at the auction sale without informing to bidder, it is called as

A)prepared bidding
B)pretend bidding
C)power bidding
D)both (a) & (c)

Question 9

In contract through sea route, where the seller has to put the goods on board a ship at his own expenses, the contract is known as

A)cif contract
B)fob contract
C)board obligatory contract
D)ex-ship contract

Question 10

In a contract through sea route where the seller has to deliver the goods to the buyer at the port of destination

A)fob contract
B)cif contract
C)ex-ship contract
D)destination contract

Question 11

The remedies available to a person, suffering from the breach of contract are

A)suit for damages
B)suit for injunction
C)quantum meruit
D)all of the above

Question 12

Where the court orders the defaulting party to carry out the promise according to the terms of the contract, it is called as a/an

A)quantum meruit
B)rescission
C)injunction
D)specific performance

Question 13

_________ means an order of the court restraining a person from doing what he promised not to do

A)quantum meruit
B)rescission
C)specific performance
D)injunction

Question 14

Quantum meruit means

A)a non-gratuitous promise
B)as gratuitous promise
C)as much as is earned
D)as much as is paid

Question 15

Hadley versus Baxendale case is a leading case on

A)the breach of implied term
B)the anticipatory breach
C)the remoteness of damages
D)the bilateral mistake of fact

Question 16

Exemplary damage is also known as

A)a vindictive damage
B)a punitive damage
C)a direct damage
D)either (a) or (b)

Question 17

Vindictive damages have been awarded

A)for a breach of the promise to marry
B)for a wrongful dishonour of a cheque
C)either (a) or (b)
D)neither (a) nor (b)

Question 18

Liquidated damages means an amount of the _________ that may result from the breach of contract

A)actual loss
B)loss suffered
C)pre-estimated probable loss
D)pre-estimated actual loss

Question 19

A stipulation for increased interest from the date of default is known as

A)a compensation
B)a penalty
C)liquidated damages
D)damages

Question 20

A quasi-contract

A)is a contract
B)is an agreement
C)has only a legal obligation
D)is not any of these

Question 21

Claim for necessaries supplied to a person incompetent to contract, from the property of such person. It is covered under the concept of

A)quasi-contract
B)caveat emptor
C)contingent contract
D)wagering agreement

Question 22

A finder of goods

A)a person who finds the goods belonging to another
B)a person who returns any goods to the owner
C)a person who finds the goods belonging to another and takes them into his custody
D)any of the above

Question 23

A contract in which one person promises to compensate the other for the loss suffered by him, due to the conduct of the promisor or of any other person, is known as

A)contract of indemnity
B)quasi-contract
C)contract of guarantee
D)none of these

Question 24

The party who gives the indemnity is known as

A)the indemnity-holder
B)the indemnifier
C)the surety
D)the principal debtor

Question 25

A contract in which a person promises to discharge the liability of another person, in case of default by such person, is known as a

A)quasi-contract
B)contract of indemnity
C)contract of guarantee
D)none of the above