Beruflich Dokumente
Kultur Dokumente
Correct Answers:
1 2 3 4 5 6 7 8 9 10
D D C D A A A C D B
Explanations:
1. There must be meeting of minds of both the parties on the same subject for a valid contract.
EXAMPLE 1 - X contracts with B to sell his White house. B sends his acceptance for the same horse. A valid
Contract is made.
EXAMPLE 2- X contracts with B to sell his White Horse. B sends his acceptance for the Black horse of X. This is
not a valid contract.
5. The law of restitution is the law of gains-based recovery. It is to be contrasted with the law of
compensation, which is the law of loss-based recovery. When a court orders restitution it orders the
defendant to give up his/her gains to the claimant. If a minor has unjustly enriched himself equity demands
that such property or goods be restored by minor.
Example- X a minor makes a contract with D to sell his house and pays him 50000 rupees. The contract is held
as void ab intio by the court and the house is returned to X. X must return the Consideration for the house i.e.
50k back to D.
6. Implied terms in English law refers to the practice of setting down default rules for contracts, when terms
that contracting parties expressly choose run out, or setting down mandatory rules which operate to override
terms that the parties may have themselves chosen.
7. Subrogation means Substitution of one person or group by another in respect of debt or insurance claim.
The doctrine of subrogation provides that if an insurer pays a loss to its insured due to the wrongful act of
another, the insurer is subrogated to the rights of the insured and may prosecute a suit against the wrongdoer
for recovery of its outlay.
EXAMPLE X- gives guarantee on behalf of B to A that he will pay the money if B is unable to pay the money. B
fails to Pay. Here A can subrogate X in place of B because he is the guarantor of debt
8. Pari delicto means at equal fault. For example- X contracts with B to paint his house after it has been
completed on 1 January 2029. Neither the house is completed nor does the painter come to paint the house
as he is busy. Here both parties are at equal fault and no action in court of law arises.
10. Quantum meruit means reasonable sum of money rendered or work done when the amount due is not
stipulated in a legally enforceable contract. Used when price is not fixed for service rendered. Examples of
these situations include receipt of care by an emergency room physician, legal services without signing a fee
agreement, or obtaining spur-of-the moment services of the neighbour’s gardener. In such situations there
can be no doubt that the individual deserves to be paid for services rendered, but it is not uncommon for
disputes to arise over the actual amount billed after the fact.