Top 1000+ Solved Fundamentals of Laws and Ethics MCQ Questions Answer
Q. "If you contract to sell peas, you cannot oblige a party to have beans": this statement applies to
a. a implied condition as to be description of goods
b. the implied condition as to fitness of goods for a particular purpose
c. implied condition as to sample
d. implied condition as to title
Q. Where goods are bought by description from a seller who deals in goods of that description, what is theimplied condition?
a. that goods shall be of merchantable quality
b. that the buyer shall have reasonable opportunity of comparing the bulk with the sample
c. the goods shall be in excellent quality
d. the goods shall be free from defects
Q. In a contract of sale, unless otherwise stated, there is an implied warranty.
a. that the buyer can reject the goods if goods do not conform to his purpose
b. that the buyer shall have and enjoy quiet possession, and if there is a breach of this warranty, he is entitled to sue the seller for damages
c. that the buyer shall have right to terminate the contract in the event of non-compliance with the warranties
d. none of the above
Q. Where goods are known to be dangerous to the seller, and he also knows that the buyer is ignorantabout it, there is an implied warranty
a. that buyer must be informed about the dangerous nature of goods
b. that the buyer must examine the goods before taking delivery
c. the seller must warn the buyer
d. both 'a' and 'c'
Q. Under section 11 of the Sale of Goods Act, 1930, the time of payment can be of the essence of the contract —
a. by agreement between the parties
b. by operation of law
c. both (a) and (b)
d. either (a) or (b)
Q. Whether or not any stipulation other than time of payment is of the essence of the contract depends upon —
a. application of section 11
b. operation of law
c. terms of the contract
d. all of the above
Q. The doctrine of Caveat emptor is not applicable
a. in case of sale under a patent name
b. in case of sale under a trade name
c. where the seller is guilty of fraud
d. where the buyer relies on the skill and judgment of the seller
Q. A stipulation in a contract of sale which is collateral to the main purpose of contract is called as
a. Guarantee
b. warranty
c. condition
d. term
Q. Merchantable quality of goods means
a. that the goods are commercially saleable
b. they are fit for the purpose for which they are generally used
c. both 'a' and 'b'
d. the quality should be of high standard
Q. Property in the goods 'in the Sale of Goods Act means'
a. ownership of goods
b. possession of goods
c. asset in the goods
d. custody of goods
Q. Which of the following is not true
a. risk and ownership cannot be separated
b. risk and ownership can be separated
c. parties may agree that risk will pass sometimes after the property has passed
d. parties may agree that risk will pass sometimes before the property has passed
Q. In case of unascertained goods the property in the goods passes:
a. When the goods are ascertained
b. When the goods are appropriated
c. Both 'a' and 'b'
d. Either 'a' or 'b'
Q. In case of appropriation of goods, which are the essential requirements:
a. The goods should confirm to the description and quality stated in the contract.
b. The goods must be in a deliverable state.
c. The appropriation must be by the seller with the assent of the buyer.
d. All the above
Q. Appropriation of goods means
a. separating the goods sold from other goods
b. putting the quantity of goods sold in suitable receptacles
c. delivering the goods to the carrier or other bailee for the purpose of transmission to the buyer with reserving the right of disposal
d. all the above
Q. In case of contract for the sale of specific or ascertained goods the property in goods passes to thebuyer:
a. At such time as the parties to the contract intend it to be transferred
b. When the price is paid
c. When delivery is given
d. When the contract is made