B.A. LL.B. (Five Years) Sem 8 Contract II Jun 2018 Question Paper - Mumbai University | munotes

Questions asked in this paper

• N.B: (1) All questions are compulsory. (2) Figures to the right indicate marks. (3) Give reasons / case law whenever necessary.

Q.1 Q.1: Answer in 1-2 sentences each (20 Marks - 2 marks each)

1. (a) State any 2 rights of surety against the creditor.
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2. (b) Who can exercise general lien?
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3. (c) State any four kinds of bailment.
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4. (d) Define the term "bailor" & "bailee".
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5. (e) Explain partners authority in an emergency.
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6. (f) State any two grounds on which the firm can be compulsorily dissolved.
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7. (g) What does "future goods" mean under Sale of Goods Act 1930.
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8. (h) Who is a "mercantile agent" under the Sale of Goods Act, 1930?
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9. (i) State the circumstances in guarantee becomes invalid.
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10. (j) Who is the "principal debtor"?
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Q.2 Q.2: Short note on any four (20 Marks - 5 marks each)

1. (a) Revocation of continuing guarantee.
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2. (b) Discharge of surety.
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3. (c) Essentials of a partnership.
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4. (d) Distinguish between "condition" & "warranty".
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5. (e) Sub-agent.
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6. (f) Distinguish between Partnership & company.
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Q.3 Q.3: Solve any two (12 Marks - 6 marks each)

1. (a) XYZ had given overdraft facility to a partnership firm & its partners, against firm's fix deposit. The partners & the firm made a default in repayment of loan in spite of notices given by the bank. (i) Can bank exercise lien over the fixed deposit receipts of the partnership firm? If yes, can the bank liquidate the fixed deposit? (ii) Presuming the firm has two separate accounts in the same bank, one is current account. Can the bank utilize the balance in the current account for satisfaction of the overdraft facility? Give Reasons.
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2. (b) "X" holds a lease from "Y", terminable on 6 months' notice. "Z", an unauthorized person, gives notice of termination to "X". (i) Can this notice by "Z" be rectified by "X"? If yes, why? (ii) Write the essentials of a valid ratification.
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3. (c) The goods sold were to be carried first by railway & then by ship to their ultimate destination "A". The seller gave notice to railway company to stop the goods; but it was too late to prevent their shipment. The seller then gave notice to the ship owner, before it arrived at destination "A". The trustee of the bankrupt buyer demanded the goods. (i) Will the trustee of the bankrupt buyer get the goods? (ii) Can the seller issue a notice to the ship owner & stop the goods in transit? Why?
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Q.4 Q.4: Answer any four (48 Marks - 12 marks each)

1. (a) Discuss the contract of guarantee. Discuss the same in detail with special reference to discharge of surety & compare it with the contract of indemnity.
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2. (b) Explain the various modes of "Termination of Agency".
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3. (c) Define pledge & state the rule & exceptions to the rule "no one can make a valid pledge who is not the owner of the goods".
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4. (d) Explain the different modes of dissolution of partnership firm and state what are the consequences or effects of the dissolution of firm & state the rights of the creditors of after dissolutions.
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5. (e) What are the rights & liabilities of the minor when admitted to the benefits of the partnership?
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6. (f) Who is an "unpaid seller". Discuss the rights & duties of an "unpaid seller"?
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