Solved Contract Act 1872 (Mercantile _ Business Law)

Contract Act 1872 MCQs for Competitive Exams

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Topic Notes: Contract Act 1872

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Contract Act 1872 MCQs in Commerce are useful for candidates who need targeted practice for CSS, PMS, FPSC, PPSC, NTS, entry tests, and other competitive exams in Pakistan. This topic page is designed for quick revision, repeated practice, and exam-focused preparation.

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Under a hire purchase agreement, what is the consumer's obligation regarding the goods before ownership is fully transferred?

all the due payments

agreement certified

termination to the agreement

submission of all documents

Report

On what date did the Right to Information (RTI) Act 2005 officially come into force?

15thAugust 2005

1stNovember 2005

15thJune 2005

12thOctober 2005

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Which of the following statements accurately distinguishes between life insurance and general insurance contracts?

In case of general insurance, the risk event protected against is certain

The certainty of risk event in case of general insurance increases with time

Life insurance policies are contracts of assurance, while general insurance policies are contracts of indemnity

Life insurance policies are contracts of indemnity, while general insurance policies are contracts of assurance

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If person A employs person B to commit an illegal act against C and promises to indemnify B for the consequences, is A legally liable to indemnify B for damages paid to C?

A is not liable to indemnify B for those damages

A is liable to indemnify B for those damages

None of the above

A is partially liable to indemnify B for those damages

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Which of the following is an indemnity holder NOT entitled to recover under the law of indemnity?

Damages for liability incurred which is not absolute

All costs that he may be compelled to bear in defending any such suit

All damages which he may be compelled to pay in any suit in respect of any matter to which the promise applies

All sums that he may have paid under the terms of any compromise of such suit

Report

On what date was the Competition Commission of India officially established?

14thOctober, 2003

14thOctober, 2005

14thOctober, 2014

12thOctober, 2005

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If A instructs his solicitor B to sell an estate by auction and B appoints C as the auctioneer, what is the legal status of C?

C is not sub-agent, but B's agent for the conduct for the sale

C is a sub agent, and A's sub agent for the conduct to the sale

C is not a sub-agent, but A's agent for the conduct of the sale

None of the above

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In the context of a contract of guarantee, which of the following definitions is correct?

The person who gives the guarantee is called the 'surety'

All of the above

The person to whom the guarantee is given is called the 'creditor'

The person in respect of whose default the guarantee is given is called the 'principal debtor'

Report

How is a sub-bailee defined in the context of the transfer of possession of goods?

Who has a present right to possession of them as bailee of the owner

Both A and B

None of the above

Who is not himself not an owner of goods

Report

If a tradesman mistakenly delivers goods to an individual's residence, what is the legal standing of the recipient regarding those goods?

is under obligation to make a fresh contract with Mr. X for the use of these goods

is not bound to return the goods as there is no agreement between the two

is bound to return the goods under quasi-contratual obligations

can use the goods as his own and can also claim compensation from Mr. X

Report

Contract Act 1872 MCQs for Competitive Exams

Contract Act 1872 MCQs for Competitive Exams

Topic Notes: Contract Act 1872

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