Business Law Online Practice set from books

Q20. Coercion is the committing or threatening to commit any act forbidden by the _________
a. Indian Penal Code
b. voidable
c. power

Answer

a. Indian Penal Code

Q21. When consent to an agreement is caused by coercion the agreement is _________.at the option of the party whose consent was so obtained.
a. Indian Penal Code
b. voidable
c. power

Answer

b. voidable

Q22. Undue influence consists in the improper exercise of _________.over the mind of one of the contracting parties by the other.
a. voidable
b. power
c. full knowledge

Answer

b. power

Q23. The presumption of undue influence can be rebutted by showing that the party said to have been influenced had independent legal advice of one who had _________of the relevant facts.
a. voidable
b. power
c. full knowledge

Answer

c. full knowledge

Q24. For a fraud to exist there must be a representation or assertion and it must be_________
a. false
b. true
c. none of these

Answer

a. false

Q25. It is a common rule of law that there is no fraud without_________
a. damages
b. fraud
c. three

Answer

a. damages

Q26. Silence may in itself amount to _________where the circumstances are such that “silence is in itself equivalent to speech”.
a. false
b. damages
c. fraud

Answer

c. fraud

Q27. The case of misrepresentation is classified into _________groups
a. three
b. two
c. one

Answer

a. three

Q28. Broadly there are two kinds of mistake which are Mistake of _________and Mistake of law.
a. fact
b. bilateral
c. co-sureties

Answer

a. fact

Q29. When both the parties to the agreement are under a mistake of fact essential to the agreement, the mistake is called a _________mistake
a. bilateral
b. co-sureties
c. surety

Answer

a. bilateral

Q30. Rights of a surety is classified under three heads which are rights against the creditor, rights against the principal debtor and rights against_________
a. co-sureties
b. surety
c. operation of law

Answer

a. co-sureties

Q31. In a contract of guarantee there are three parties, viz., the creditor, the principal debtor and the _________
a. surety
b. operation of law
c. Indemnity

Answer

a. surety

Q32. A contract of indemnity may arise either by an express promise or_________
a. operation of law
b. Indemnity
c. primary

Answer

a. operation of law

Q33. _________requires that the party to be indemnified shall never be called upon to pay.
a. Indemnity
b. primary
c. secondary

Answer

a. Indemnity

Q34. The liability of a promisor is _________and independent in a contract of indemnity.
a. Indemnity
b. primary
c. secondary

Answer

b. primary

Q35. In a contract of guarantee, the liability of the surety is_________.
a. primary
b. secondary
c. temporary

Answer

b. secondary

Q36. The essence of bailment is delivery of goods by one person to another for some _________purpose.
a. secondary
b. temporary
c. accomplished.

Answer

b. temporary

Q37. In case, bailment is for specific purpose it terminates as soon as the purpose is _________
a. accomplished.
b. bailee
c. true owner

Answer

a. accomplished.

Q38. A finder of lost goods is treated as the _________of the goods found.
a. bailee
b. true owner
c. implication

Answer

a. bailee

Q39. A finder of lost goods may retain the goods until he receives the compensation for money spent in preserving the goods and amount spent in finding the_________
a. true owner
b. implication
c. Implied

Answer

a. true owner

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