Mumbai University Solved Question Papers
Contract II
Previous Year Question Paper with Solution
LLB 3 years · Sem 4
May 2012 Examination
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LLB 3 years Sem 4 Contract II May 2012 Question Paper with Solutions
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First published on munotes.in on 24 October 2026.
Published by munotes.in, Mumbai.
Model answers written and edited by the munotes.in editorial desk.
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The University does not publish an official answer key for this paper. The answers in this volume are model answers, written to show how a full-mark answer is built. They are a study aid, not an authority on what an examiner marked.
The question paper reproduced here is the paper as set by the University of Mumbai at the May 2012 examination.
Contents
The questions below are the paper as the University of Mumbai set it at the May 2012 examination, in the order it was set.
MarksPage
MarksPage
The Paper as Set
The questions in this volume are the questions asked at the May 2012 examination, reproduced as the University of Mumbai set them, in the order it set them. Nothing has been reworded, added or left out. Only the answers are ours. See the original question paper.
Duration 3 hours · Total marks 100 · 25 questions answered
How to use this volume
Solve the paper first, under exam conditions and against the clock. Then read the answers here and mark your own. Reading a solution before attempting the question feels productive and teaches very little, because recognising an answer is not the same as being able to write one.
Q.1
Q.1: Answer in not more than two sentences
20 Marks - 2 marks each
(a)Who is Pakka Adatia?[2]
Answer
A pakka adatia is a commission dealer of the Indian markets, especially Bombay. He buys and sells goods in the market in his own name for a constituent, usually an up-country merchant. He is answerable to the other party in the market himself, and the constituent never deals with that party.
How he works.
- Agent at first. He takes the constituent's order and gives him a correct quotation of the price.
- Principal once the deal is made. He contracts with the market in his own name and bears the risk of the other party. There is "no privity between the up-country constituent and the Bombay merchant".
- His undertaking. He is employed for reward, and in effect guarantees that delivery will be given or taken at the agreed price, or the difference paid. He may call on the constituent for margin money.
Superintendent of Stamps v. Ramkrishnalal Dahyabhai, AIR 1947 Bom 343 (Full Bench). The question was whether pakka adatias' contract notes to their constituents needed stamp duty as notes sent "by a broker or agent to his principal". The notes said that "the risk as regards the other party to the contract is on us". The Bombay High Court held the relationship to be that of principal and principal, so the notes were not chargeable. The Court relied on Jenkins C.J. in Bhagwandas v. Kanji (1905) ILR 30 Bom 205: a pakka adatia may be an agent "up to a point", for fixing the price, but not after that stage.
So a pakka adatia begins as his constituent's agent but completes the deal as a principal.
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