CONTRACT LAW MCQS SET 21

CONTRACT LAW MCQS SET 21

Capacity of the Party

1. Which of the following statements are correct? A minor cannot
a) Become a Partner
b) Be liable even in case of fraudulent representation of age
c) Ask for specific performance of a contract
d) All of the above

2. A minor cannot be declared insolvent.
a) True
b) Partly True
c) False
d) None of the above

3. Guardian shall …. For breach of contract by Minor.
a) be held liable
b) Not be held liable
c) Be imprisoned
d) Not be questioned

4. Parents shall ------- for breach of con. Tact by minor.
a) Be held liable
b) Not be held liable
c) Be imprisoned
d) Not be questioned

5. A , a Minor, entered into a contract for borrowing a sum of Rs 40,000 out of which lender paid him a sum of Rs 18,000A executed mortgage of property in favour of the lender. The mortagage is
a) Valid for any amount
b) Valid to the extent of Rs. 40,000
c) Invalid
d) Validated on attaining majority

6. A ia a minor, b approaches A for a loan on the basis of a mortgage of the house owned by B Hence, A advances the money and b executed a mortagage in favour of A, a minor. In these circumstances
a) The mortgage is not enforceable by
A, because he is a minor
b) The mortgage is enforceable but only when a attains majority
c) The mortgage is enforceable by A even though he is a Minor
d) There is no mortgage at all

7. Minor can be
a) A partner in a firm
b) An agent
c) A principal of his agent
d) All of the above

8. A minor can
a) Ratify his agreement after attaining majority
b) Be directed by the Court for specific performance of the contract
c) Always plead his minority
d) Be held liable for cheques issued by him

9. A contract to take a loan by boy of 17 years of age from a money lender of 34 years is
a) Valid contract
b) Void contract
c) Quasi Contract
d) Void agreement

10. A minor can be held personally liable
a) For chques issued by him
b) For promises made by him with other joint promisors
c) For guarantee given by him
d) None of the above
ANSWER:

1. d
2. a
3. b
4. b
5.c
6.c
7. b
8. c
9. b
10. d