1) The Contract Act of 1872 was enacted on
A. 25th April, 1872 B. 25th May, 1872
C. 25th June, 1872 D. None of aboves
2. The Contract Act 1872 was enforced on
A. First day of July, 1872 B. First August, 1872
C. 1st September, 1872 D. None of these
3. The Contract Act, 1872 consists_____ sections
A. 238 B. 248
C. 266 D. None of these
4. Definitions are provided in section_____ of The Contract Act
A. 2 B. 3
C. 4 D. None of these
Answer & Explanation
5. When one person signifies to another his willingness to do or to abstain from doing any
thing with a view to obtaining the assent of that other person to such act or abstinence he is
said to make a
A. Proposal B. Promise
C. Both (a) and (b) D. None of these
6) When the person to whom the proposal is made signifies his assent thereto the proposal
is
said to be accepted than its called
A. Proposal B. Promise
C. Agreement
D. None of these
7. The person making the proposal is called
A. Promiser B. Promisee
C. Both of above D. None of above
Answer: Option A
8. The person to whom proposal is made is called
A. Promisor B. Promisee
C. Both of above D. None of above
9. Every promise and every set of promises forming the consideration for each other
A. A proposal B. An offer
C. An agreement D. None of above
10. There are_____ essential ingredients of a contract
A. 2 B. 3
C. 4 D. None of above
11. "Reciprocal" Contracts means
A. One sided contracts B. Bilateral contracts
C. Trilateral contracts D. None of above
12. Promise which forms the consideration or part of the consideration for each other is
called
A. Simple promise B. Conditional promise
C. Reciprocal promise D. None of above
13. An agreement not enforceable by law is called
A. Void agreement B. Valid agreement
C. Voidable agreement D. None of above
14. An agreement enforceable by law is called
A. An agreement B. Contract
C. Both (a) and (b) D. None of above
15. An agreement which is enforceable by law at the option of one or more of the parties
there to but not at the option of other or others is
A. A void contract B. A voidable contract
C. A valid contract D. All of above
16. A contract which ceases to be enforceable by law becomes void when it ceases to be
enforceable is called
A. Valid contract B. Voidable contract
C. Void contract D. None of above
17. A proposes by letter to sell a house to B The Communication of the proposal is complete
A. When A make such proposal B. When B accepts the proposal
C. Both (a) and (b) D. None of above
18. Section 5, of the Contract Act, deals with
A. Communication of contract B. Acceptance of contracts
C. Revocation of proposals and
acceptances
D. None of above
19. A proposal may be revoked by ways as are provided in section_____ of the Contract
Act 1872.
A. 5 B. 6
C. 7 D. None of above
20. As per section 6 of the Contract Act, 1872 there are_____ ways for revocation of
proposal.
A. 2 B. 3
C. 4 D. None of above
21. A proposal may be revoked at any time
A. Before the communication of its
acceptance
B. Before the rejection of its
communication
C. Both (a) and (b) D. None of above
Answer & Explanation
Answer: Option A
22. In order to convert a proposal into a promise the acceptance must be
A. Conditional B. Unconditional
C. Absolute D. None of above
23. All the agreements are contracts if they are made by free consent of the parties
competent to contract for a _____ consideration and object
A. Any B. Lawful
C. Unlawful D. None of above
24. The age limit for making a contract is
A. 16 years B. 17 years
C. Majority D. None of above
25. A contract made by lunatic is____ in the eye of Law
A. Void B. Valid
C. Absolute D. None of above
Answer & Explanation
Answer: Option A
26. Free consent is_____ element for contract
A. Essential B. Discretional
C. Exceptional D. None of above
27. The Term "Consent" means
A.
Voluntary accordance with or
concurrence in what is done or
proposed by another
B. Free mind
C. Free will
D. All of the above
28. Free consent is defined in section____ of the Contract Act
A. 10 B. 14
C. 18
D. None of above
29. The term "Coercion" means
A.
Committing or threatening to
commit any act forbidden by the
Pakistan Penal Code
B. Compulsion
C. A unlawful pressure
D. All of the above
Answer & Explanation
Answer: Option D
30. The committing or threatening to commit any act forbidden by the Pakistan Penal Code, or
the
unlawful detaining or threatening to detain any property to the prejudice of any person
whatever with intention of causing any person to enter
into an agreement is called
A. Free consent B. Coercion
C. Both (a) and (b)
D. None of above
31. Undue influence make a contract
A. Void
B. Voidable
C. Valid
D. None of above
32. A man enfeebled by disease or age is inclued by B's influence over him as his medical
abendant to agree to pay B, a unreasonable sum for his professional services
A. B employees nothing B. B employees undue influence
C. Both (a) and (b) D. None of above
33. Fraud is defined in Section____ of the Contract Act
A. 15 B. 16
C. 17 D. None of above
34. The term "Fraud" means.
A. Active concealment of fact with
knowledge and belief of the fact B. Doing any act fitted to deceive
C. Both (a) and (b) D. None of above
Answer: Option C
35. The suggestion as a fact of that which is not true by one who does not believe it to be
true and the active concealment of a fact by one having knowledge or believe of the fact is
called
A. Cheating B. Fraud
C. Misrepresentation D. None of above
36. Section 18 of the Contract Act, deals with
A. Coericon B. Fraud
C. Misrepresentation D. None of above
Answer & Explanation
Answer: Option C
37. Coercion, Fraud and misrepresentation makes contract
A. Void of the option of the party whose
consent was caused B. Voidable on the option of the party
whose consent so caused
C. Valid for both sides D. None of above
38. Every agreement, by which any party thereto is restricted absolutely from enforcing his
rights under or in respect of any contract by the usual legal proceeding in the ordinary
tribunal or which limits the time within which he may thus enforce his right
A. Valid agreement B. Void agreement
C. Both (a) and (b) D. None of above
39. A's son has forged B's name to a promissory note. B under threat of prosecuting A's son
obtain
a bond from A for the amount of the forged note. If B sues on this bond
A. The Court can accept the suit B. The Court may set aside the bonds
C. Both (a) and (b) D. None of above
40. A intending to deceive B, falsely represents that five hundred munds of indigo are made
annually at A's factory and their by induces B to buy the factory
A. The contract is voidable on the part
of A B. The contract is voidable on the part
of B
C. The contract is voidable on both A
and B part D. None of above
41. Mistake of fact
A. Makes a contract voidable B. Does not make a contract voidable
C. Makes a contract void D. None of above
42. The consideration or object of an agreement is lawful unless it is
A. Forbidden by law B. Forbidden by contractors themselves
C. Forbidden by custom D. None of above
43. Where both the parties are under mistake as to matter of fact the agreement is
A. Void B. Voidable
C. Valid D. None of above
44. A agrees to buy from B a certain horse. It turns out that the horse was dead at the time
of the bargain though neither party was aware of the fact the agreement is
A. Valid B. Void
C. Voidable D. Both (a) and (b)
45. Agreement without consideration is
A. Void B. Voidable
C. Valid D. None of above
46. A promises to superintend on behalf of B, a legal manufacture of indigo and an illegal
traffic in
other articles, B promises to pay A salary of 10,000/- rupees year. The agreement is void
the
object of A's promise, and consideration for B's promise being in part
A. Lawful B. Unlawful
C. Both (a) and (b) D. None of above
47. A contract to do or not to do something if some event collateral to such contract does or
does
not happen is called
A. Simple contract B. Complex contract
C. Contingent contract D. None of above
48. A contract to pay B Rs. 10,000 if B's house is burnt the contract is
A. Simple contract B. Conditional Contract
C. Contingent Contract D. None of above
49. The term "Contingent" means.
A. Possible but not assured B. Doubtful or uncertain
C. Both (a) and (b) D. None of above
50. Contingent Contract is defined is section____ of The Contract Act
A. 25 B. 26
C. 27 D. None of above
