KSLU Contract II Past Questions & Exam Topics
KSLU Contract II Past Questions & Exam Topics
To crack the KSLU exam for Contract II, analyzing past trends is crucial. Below is a unit-wise breakdown of theory and problem questions compiled from KSLU semester papers.
How to read the map:
- ⭐⭐⭐ : Asked 5+ times — Must Cover
- ⭐⭐ : Asked 3–4 times — High Priority
- ⭐ : Asked 1–2 times
[16M]/[10M]: Essay marks[6M]/[SN]: Short notes / brief topics[Prob]: Solved problem fact patterns
📅 Unit 1 — Contract of Indemnity & Contract of Guarantee
Topic-wise Questions
| # | Topic | Questions & Frequency |
|---|---|---|
| 1.1 | Contract of Indemnity — definition, nature & scope; rights of indemnity holder; commencement of indemnifier’s liability | [16M] Define indemnity; rights/duties of indemnity holder — Jan2012(100), Jun2013(100, + Indian v English law), Dec2013(100), Jun2017(100), Dec2019(100); [10M] Jun2019(80), Nov2022(80), Mar2022(80), Feb2025(80, + features), Jun2025(80, when sued), Apr2023(80, “liability & duties of insurer”); [SN] Contract of Indemnity / Rights of indemnity holder — Dec2012(100), Jun2016(100), Dec2016(100), Dec2017(100), Jun2018(100), Jun2019(100), Dec2020(100), Apr2022(100), Jun2015(100) ⭐⭐⭐ |
| 1.2 | Difference between Contract of Indemnity and Contract of Guarantee | [16M] Define both & discuss differences — Jun2011(100), Dec2014(100), Jun2014(100), Dec2018(100); [10M] Aug2024(80), Jan2026(80); [SN] Distinction between Indemnity & Guarantee — Jun2013(100) ⭐⭐⭐ |
| 1.3 | Contract of Guarantee — definition, nature & scope, essential features; tri-partite nature | [16M] Define guarantee / essential features — Dec2016(100), Apr2022(100); “Is guarantee a tri-partite contract?” — Nov2022(100); effect of misrepresentation/concealment — Jun2013(100) ⭐⭐⭐ |
| 1.4 | Rights of surety (against principal debtor, creditor, co-sureties); “surety is a favoured debtor” | [16M] Dec2012(100), Dec2017(100, against principal debtor & creditor); [10M] Jun2019(80); [SN] Rights of the surety — Jun2013(100), Dec2013(100), Jun2017(100); “surety is a favoured debtor — discuss” — Dec2012(100) — (also bundled with “Define guarantee; explain rights of surety” Jun2012(100), Jun2018(100), Dec2020(100), Apr2021(100), Feb2025(80)) ⭐⭐⭐ |
| 1.5 | Discharge of surety — modes / circumstances | [16M] Jan2011(100), Jun2014(100), Jun2016(100), Jun2019(100), Apr2022(100); with continuing-guarantee framing — Jan2012(100), Dec2015(100), Jun2018(100); [10M] Jun2019(80), Nov2022(80), Mar2022(80), Jan2026(80) ⭐⭐⭐ |
| 1.6 | Continuing guarantee — meaning, revocation/termination | [16M] What is continuing guarantee; when revoked — Dec2012(100); [10M] Jun2025(80); [SN] Continuing guarantee — Dec2014(100), Jun2014(100), Jun2019(80), Nov2022(80), Feb2025(80), Dec2018(100) ⭐⭐⭐ |
| 1.7 | Extent of surety’s liability | (covered within rights/discharge; co-extensive with principal debtor — s.128) — Jun2019(80); cover briefly ⭐ |
| 1.8 | Co-surety — co-sureties’ liability & contribution | [SN] Co-surety — Dec2013(100), Apr2023(80); [Prob] co-sureties’ liability — Jun2017(100) ⭐⭐ |
| — | Short notes asked on Unit 1 topics | [SN] Indemnify/Indemnity — Jun2015(100); Contract of Indemnity — Jun2016(100), Dec2017(100), Jun2018(100), Jun2019(100), Dec2020(100), Apr2022(100), Apr2023(80); Continuing guarantee (see 1.6); Co-surety (see 1.8) |
Application Problems (all papers)
Every fact-pattern problem from every paper — 80-mark and 100-mark sittings. Look-alikes (same issue + rule + decoy, only names/amounts/dates swapped) are merged into ONE row with neutral labels and all years listed.
| Year(s) (paper) | Problem summary (neutral labels, with the decoy) | Key issue |
|---|---|---|
| Dec2015(100), Jun2019(80), Dec2019(100), Nov2021(80), Jan2026(80) | A advances a loan (Rs. 1,000 / 1,00,000 / 2,00,000) to B, a minor, on the guarantee of C; B refuses to repay pleading minority. Can A recover from C? Decoy: minority of the principal debtor | Surety’s liability where principal debtor is a minor (s.128); guarantee for a minor’s “debt” — surety liable as principal debtor |
| Jan2012(100), Dec2019(80), Mar2022(80), Nov2022(80) | A guarantees payment to B for five sacks of flour delivered by B to C, payable in a month; B delivers five sacks, C pays; later B delivers four more sacks, C does not pay. Liability of A? Decoy: looks like a continuing guarantee | Specific vs continuing guarantee (s.129); guarantee exhausted by the first transaction |
| Jun2012(100) | A is surety for the good conduct of B (bank employee); B misappropriates money; the bank excuses him without informing A; B again misappropriates Rs. 50,000; bank sues A. Decide. Decoy: creditor’s forbearance/concealment | Discharge of surety by creditor’s conduct / concealment (s.139, s.141) |
| Apr2021(80) | B owes C a debt guaranteed by A; the debt becomes payable; C does not sue B for a year. Is A discharged from suretyship? Decoy: mere delay in suing | Mere forbearance to sue does not discharge the surety (s.137) |
| Jun2017(100) | A, B and C are co-sureties to D for Rs. 9,000 lent to E; E defaults. Discuss the liability of A, B and C. | Co-sureties’ liability to contribute equally (s.146, s.147) |
| Jun2016(100) | Mrs. V buys a bus on a bank loan; her husband S stands surety; S later divorces V; V defaults; bank asks S to clear dues. Since he is no longer her husband, is S discharged? Decoy: change in personal relationship | A change in the surety’s relationship with the principal debtor does not discharge suretyship |
📅 Unit 2 — Contract of Bailment & Contract of Pledge
Topic-wise Questions
| # | Topic | Questions & Frequency |
|---|---|---|
| 2.1 | Bailment — definition, essential features, kinds | [16M] What is bailment; important features (decided cases) — Dec2019(80→ also asked 100-style), Jun2016(100); essential features — Jun2013(100); define bailment + features — Jun2019(80), Aug2024(80); [10M] Feb2025(80, + differences from pledge), Mar2022(80) ⭐⭐⭐ |
| 2.2 | Rights & duties of Bailor | [16M] Define bailment; rights & duties of bailor — Jan2012(100), Jun2014(100), Dec2015(100) ⭐⭐ |
| 2.3 | Rights & duties of Bailee | [16M] Define bailment; rights & duties of bailee — Dec2012(100), Dec2014(100, bailor & bailee), Dec2020(100); [10M] Mar2022(80), Apr2021(80, duties of bailee); [SN] Duties of Bailee / Rights of Bailee — Jan2012(100), Jun2014(100), Jun2017(100), Dec2017(100), Jun2018(100), Jun2019(100), Nov2022(80), Apr2021(80) ⭐⭐⭐ |
| 2.4 | Rights of finder of goods as bailee; liability to true owner | [16M] Rights of finder & liability to true owner — Dec2013(100); State rights of finder of goods as bailee — Nov2022(100); [10M] Jan2012(100, rights of finder); [SN] Rights of finder of lost goods — Jun2015(100), Dec2019(100) ⭐⭐ |
| 2.5 | Lien (bailee’s particular & general lien); kinds of lien | [16M] Define lien; rights of bailee re lien — Dec2012(100); types of lien with decided cases — Jun2015(100); define lien; kinds of lien — Jun2019(100); [10M] Nov2022(80), Apr2021(80); [SN] Right of Lien — Dec2014(100), Jun2014(100), Feb2025(80), Apr2022(100, bailee’s lien) ⭐⭐⭐ |
| 2.6 | Contract of Pledge — definition; comparison with bailment; pledge by non-owner (Pawnor who is not owner) | [16M] Define pledge; circumstances a non-owner can make a valid pledge — Jun2014(100), Dec2014(100), Dec2015(100), Jun2018(100), Dec2018(100), Apr2021(100); define bailment & pledge; pledge by non-owners — Jun2012(100); [10M] Feb2025(80, features + non-owner), Apr2021(80, SN); [SN] Pledge — Jan2012(100), Jun2019(80), Apr2021(80) ⭐⭐⭐ |
| 2.7 | Rights & duties of Pawnor & Pawnee (Pledgee) | [16M] Define pledge; rights & duties of pledgee/pawnee — Jan2011(100), Jun2011(100, rights of pawnee), Jun2015(100), Jun2019(100), Dec2019(100); rights & duties of pawner & pawnee — Dec2013(100); who may pledge — Jun2013(100), Nov2022(80), Apr2023(80); [10M] Jun2019(80, rights of pledgee), Apr2023(80, persons who can pledge) ⭐⭐⭐ |
| — | Other short notes on Unit 2 topics | [SN] Hypothecation — Jun2013(100); Bailor — Apr2023(80); Delivery of goods under pledge — Apr2023(80); Right of Lien (see 2.5) |
Application Problems (all papers)
Every fact-pattern problem from every paper. Look-alikes merged into ONE row with neutral labels and all years; genuinely different problems kept separate.
| Year(s) (paper) | Problem summary (neutral labels, with the decoy) | Key issue |
|---|---|---|
| Jun2011(100), Dec2012(100), Jun2019(80), Dec2019(100) | A lends a horse he knows to be vicious to B and does not disclose the fault; B rides and is thrown/injured; B sues A. Decoy: gratuitous loan | Bailor’s duty to disclose known faults (s.150); gratuitous bailor liable only for known undisclosed faults |
| Jan2011(100), Jun2017(100, motor car), Dec2019(80), Apr2022(100, horse carriage), Aug2024(80), Nov2021(80) | A hires a carriage/motor car of B; it is unsafe; B is unaware; A is injured while using it. Is B liable? Would it differ if the bailment were gratuitous? Decoy: B’s lack of knowledge | Bailor for hire/reward liable even for faults he did not know (s.150 proviso); gratuitous bailor liable only for known faults |
| Jun2011(100), Jun2013(100) | A entrusts books to B for binding, to be returned in ten days; B fails to return in time; the books are later burnt in an accidental fire on B’s premises. Can A recover damages? Decoy: accident/fire | Bailee who fails to return after the agreed time is liable for any subsequent loss (s.161) |
| Dec2012(100), Dec2015(100), Jun2018(100), Jan2026(80) | A lends a horse to B for B’s own riding only; B lets C, a family member, ride it with care; the horse accidentally falls and is injured. Is B liable? Decoy: care was taken | Unauthorised use of bailed goods — bailee liable for any loss even without negligence (s.154) |
| Dec2013(100), Mar2022(80) | A finds a jewel and takes it to a goldsmith B to test its genuineness; B, after testing, refuses to return it. Decide. Decoy: goldsmith’s possession/testing | Finder/bailment — no lien for mere testing; bailee bound to return (s.160, s.161); goldsmith’s wrongful detention |
| Dec2014(100), Feb2025(80) | A lady takes old jewels to a goldsmith to be remade; each evening she receives the half-made jewels in a box she locks and keeps on the goldsmith’s premises but keeps the key herself; the jewels are stolen one night. Is the goldsmith liable? Decoy: key (custody) remained with the owner | Whether possession/custody passed to the bailee — no bailment if owner retains effective custody |
| Dec2013(100), Dec2019(100) | A leaves his cow to be cared for for a month; B accepts but after fifteen days sells the cow to C. Remedies for A. Decoy: acceptance of bailment | Conversion/wrongful sale by bailee; bailor’s remedies (s.180, tort of conversion) |
| Jun2012(100) | A white tiger is entrusted by B to the Railway for carriage; the cage breaks from journey jolts, the tiger escapes, kills C’s bullock and is then crushed by the engine. Discuss the Railway’s liability to B and C. Decoy: extraordinary nature of the goods | Bailee/carrier’s duty of care (s.151–152); liability to bailor and to third party |
| Jan2012(100) | S enters a restaurant to dine; the waiter, unasked, takes his coat and hangs it; on leaving, the coat is missing. Who is liable? Decoy: coat handed without express request | Bailment by implied delivery; occupier/bailee’s duty of reasonable care (s.151) |
| Dec2014(100) | A delivers 100 barrels of mustard oil to the railway at Calcutta for carriage to B at Delhi; the oil is destroyed by a lawful authority because it was adulterated; the railway fails to deliver. Is the railway liable for non-delivery? Decoy: destruction by lawful order | Carrier-bailee not liable where loss results from act of lawful authority / inherent vice (s.152) |
📅 Unit 3 — Contract of Agency
Topic-wise Questions
| # | Topic | Questions & Frequency |
|---|---|---|
| 3.1 | Agency — definition; creation of agency (modes) | [16M] Define agency; modes of creation — Jun2015(100); what is contract of agency; modes of creation — Jun2012(100); how to create agency (+ kinds of agents) — Dec2013(100); [10M] Apr2021(80), Nov2022(80); [SN] Modes/creation of agency — Dec2017(100), Jun2018(100) ⭐⭐ |
| 3.2 | Kinds of agents (factor, broker, del credere, auctioneer, etc.) | [16M] Define agent; kinds of agents — Jan2012(100), Dec2013(100); [SN] Del credere agent — Jan2011(100); Different types of agents — Jun2015(100); Factors — Apr2023(80); Sub-agent — Jun2011(100), Dec2015(100) ⭐⭐ |
| 3.3 | Distinction between Agent and Servant | (never asked) — syllabus topic; cover briefly under definition of agency ⭐ |
| 3.4 | Rights & duties of agent | [16M] Rights & duties of agent — Jan2012(100), Dec2015(100), Jun2019(100), Apr2021(100); duties of an agent — Jun2011(100), Dec2012(100); [10M] Jun2019(80), Nov2022(80, duties towards principal); [SN] Duties of an Agent — Dec2020(100) ⭐⭐⭐ |
| 3.5 | Extent of agent’s authority; “Test of Agency” | [16M] Test of agency; extent of agent’s authority — Jan2011(100); extent of agent’s authority — Dec2016(100) ⭐ |
| 3.6 | Delegation — sub-agent; “delegatus non potest delegare” | [16M] Rule that a delegate cannot further delegate — Dec2012(100); maxim delegatus non potest delegare — Jun2018(100); [SN] Sub-agent — Jun2011(100), Dec2015(100) ⭐⭐ |
| 3.7 | Relation of principal with third parties; personal liability of agent; undisclosed principal | [16M] Relationship of principal & third parties — Dec2013(100); [SN] Personal liability of agent — Jun2014(100), Apr2021(80), Dec2018(100), Apr2021(80); Undisclosed principal — Dec2016(100), Dec2019(100) ⭐⭐ |
| 3.8 | Agency by ratification — meaning, conditions/essentials | [16M] Agency by ratification; conditions of valid ratification with illustrations — Jun2013(100); meaning & relevant rules — Jun2014(100), Dec2018(100); essentials/essential elements — Dec2014(100), Dec2020(100); [SN] Agency by ratification — Jan2011(100), Jun2011(100), Jun2017(100), Mar2022(80) ⭐⭐⭐ |
| 3.9 | Termination of agency — modes; irrevocable agency; agency coupled with interest | [16M] Modes of termination of agency — Jan2011(100), Jun2011(100), Jun2013(100); circumstances in which agency is terminated — Jun2012(100); [10M] Jun2019(80), Mar2022(80), Nov2021(80), Apr2023(80); [SN] Termination of Agency — Dec2013(100); Revocation of contract of agency — Jan2012(100); Irrevocable Agency — Jun2014(100); Agency coupled with interest — Jan2011(100); Agent’s right of lien — Jan2012(100) ⭐⭐⭐ |
Application Problems (all papers)
Every fact-pattern problem from every paper. Look-alikes merged into ONE row with neutral labels and all years; genuinely different problems kept separate.
| Year(s) (paper) | Problem summary (neutral labels, with the decoy) | Key issue |
|---|---|---|
| Jun2012(100), Apr2021(80), Jun2018(100), Jun2019(100), Apr2022(100) | P authorises A to sell P’s land and pay himself, out of the proceeds, the debt P owes him; P later revokes the authority. Can P do so? Advise. Decoy: the revocation | Agency coupled with interest is irrevocable (s.202) |
| Jun2015(100) | Z (cloth dealer) appoints Y as selling agent on 5% commission with an agreement that Y may retain part of the sale proceeds to adjust his commission; Z terminates the agency; Y refuses to hand over the cloth, claiming authority coupled with interest. Advise Z. Decoy: Y’s commission claim vs true interest in the subject-matter | Agency coupled with interest (s.202) vs a mere right to remuneration/lien — termination valid if no interest in the property itself |
| Jun2013(100) | A, agent of B, is authorised to sell manure but not to give any warranty; A nonetheless warrants 30% phosphate of lime; the warranty proves false. Can the buyer sue the principal B? Decoy: agent’s lack of actual authority to warrant | Principal bound by acts within the agent’s apparent/usual authority (s.237) |
| Dec2012(100) | A directs B to sell A’s estate; B discovers a mine on the estate unknown to A, asks to buy the estate himself but conceals the discovery; A consents in ignorance. Decide. Decoy: A’s consent to the sale | Agent’s duty not to make secret profit / to disclose material facts (s.215, s.216) |
| Jun2013(100) | A directs agent B to buy a certain house; B falsely says it cannot be bought (already sold) but buys it for himself; A learns of the fraud. Can A compel B to sell it to him? Decoy: B’s false statement | Agent buying principal’s business for himself — principal may repudiate / claim the benefit (s.215) |
| Dec2013(100), Mar2022(80) | Owner A hands a horse to agent B with instructions not to sell under any circumstances; B sells it to C for Rs. 50,000 and misappropriates the money. Decide. Decoy: the private instruction limiting authority | Apparent/ostensible authority binds the principal against a third party who had no notice (s.237) |
| Dec2012(100) | X holds a lease from Y, terminable on three months’ notice; Z, an unauthorised person, gives notice of termination to X. Can Y ratify the notice? Decoy: Z’s lack of authority | Ratification cannot validate a notice that prejudices a third party’s accrued rights (s.200) |
| Dec2019(80), Nov2021(80) | A, agent of B, sells goods to C without proper enquiry into C’s solvency; C was insolvent at the time of sale; B wants to sue the agent / recover the goods. Can he succeed? Decoy: agent’s want of care | Agent’s duty to act with reasonable skill and care (s.211, s.212); del credere distinction |
| Feb2025(80) | A authorises B to buy 1,000 kg of cotton on A’s account and pay from A’s money in B’s hands; B buys it in his own name to later sell it to A at a higher price for profit. Can A repudiate? Decoy: purchase made with A’s money | Agent dealing on his own account / making secret profit (s.215, s.216) |
| Jun2012(100) | D, a carrier, finds a consignment of tomatoes badly deteriorating before reaching the destination and sells it for about a third of the market price; E sues D for damages. Decide. Decoy: low sale price | Agency of necessity — carrier’s authority to sell perishables (s.189) |
| Jun2017(100) | A directs solicitor B to sell an estate by auction and employ an auctioneer; B names C as the auctioneer. Is C a sub-agent or a substituted agent? Decoy: B “appointing” C | Substituted agent vs sub-agent (s.194, s.195) |
| Nov2022(100) | A, captain of B’s ship, signs bills of lading without having received the goods on board. Decide A’s responsibility. Decoy: A acting as agent/master | Agent’s personal liability for unauthorised/false acts; breach of warranty of authority |
| Nov2022(100) | B entrusts a case with documents to an advocate; the advocate later claims a lien over the documents. Advise B. Decoy: advocate’s possession of documents | Agent’s particular lien over papers/property for fees (s.221) and its limits |
| Nov2022(100) | K is to be carried to Bombay but is taken to Delhi instead; the car meets with an accident and is damaged. Advise P (owner). Decoy: the deviation from agreed route | Liability for unauthorised deviation by agent/carrier; loss during deviation |
📅 Unit 4 — Indian Partnership Act
Topic-wise Questions
| # | Topic | Questions & Frequency |
|---|---|---|
| 4.1 | Definition of partnership; nature & mode of determining the existence of a partnership; sharing-of-profits test | [16M] Define partnership; test to determine existence — Jan2012(100); “sharing of profit is only prima facie evidence” — discuss — Jun2015(100); sharing of profit not the sole test — comment — Dec2012(100); nature & mode of determining existence — Dec2013(100), Dec2019(100); essential elements — Jun2017(100); [10M] Aug2024(80, tests), Jun2025(80, prima facie evidence), Mar2022(80, distinguish from HUF) ⭐⭐⭐ |
| 4.2 | Relation of partners to one another — rights & duties; mutual rights & liabilities | [16M] Rights & duties of a partner — Jun2011(100), Dec2014(100), Jun2018(100), Jun2019(100); mutual rights & liabilities between partners — Dec2016(100), Dec2019(100); [10M] Nov2021(80); [SN] Implied authority of a partner — Jan2011(100), Dec2012(100), Dec2015(100), Apr2021(80) ⭐⭐⭐ |
| 4.3 | Relation of partners with third parties — liability to third parties | [16M] Liability of partners to third parties and among themselves — Jun2013(100); [10M] Mar2022(80) ⭐⭐ |
| 4.4 | Types of partners; minor partner / minor admitted to benefits | [16M] Can a minor be a partner; legal status of minor partner — Jun2012(100); [SN] Types/kinds of partners — Jun2014(100), Dec2018(100), Apr2022(100), Apr2021(80), Mar2022(80), Nov2022(80); Minor partner — Nov2022(100) ⭐⭐⭐ |
| 4.5 | Admission, retirement and expulsion of partners | [16M] Admission & retirement of partners — Dec2013(100); write on admission, retirement & expulsion — Dec2020(100); [10M] Apr2021(80); [SN] Rights of out-going partner — Apr2023(80); Expulsion of a partner — Apr2023(80) ⭐⭐ |
| 4.6 | Dissolution of firm — modes; dissolution by court | [16M] Consequences of dissolution — Jan2011(100); methods of dissolution — Jun2011(100); grounds for dissolution by order of court — Jun2012(100), Dec2017(100), Apr2021(100); meaning & different modes of dissolution — Dec2012(100), Dec2020(100); when can a court order dissolution — Jun2014(100); [10M] Nov2021(80), Nov2022(80), Aug2024(80, modes & consequences) ⭐⭐⭐ |
| 4.7 | Registration of firms; effects/consequences of non-registration | [16M] Procedure of registration & consequences of non-registration — Jun2014(100), Dec2018(100), Jun2016(100); advantages & disadvantages of registration — Jan2012(100), Dec2015(100); how firms are registered; consequences of registration & non-registration — Jun2013(100); [10M] Jun2019(80), Apr2023(80), Feb2025(80), Apr2021(100); [SN] Effects of non-registration — Jan2011(100), Dec2019(80), Nov2021(80), Jun2018(100), Jun2019(100), Aug2024(80) ⭐⭐⭐ |
| 4.8 | Settlement of accounts on dissolution; goodwill; partnership at will | [16M] Rules regarding settlement of accounts of the firm — Dec2016(100), Dec2018(100), Jun2019(100); [SN] Goodwill of a business — Dec2012(100), Dec2015(100); Main features of a partnership firm — Jun2014(100); Partnership at will — Aug2024(80) ⭐⭐ |
Application Problems (all papers)
Every fact-pattern problem from every paper. Look-alikes merged into ONE row with neutral labels and all years; genuinely different problems kept separate.
| Year(s) (paper) | Problem summary (neutral labels, with the decoy) | Key issue |
|---|---|---|
| Jan2011(100), Jun2011(100), Dec2013(100), Jun2013(100), Dec2018(100), Apr2021(100), Nov2022(80) | C, an active partner, retires without giving public notice; a creditor / supplier X (sometimes an old customer D) deals with the firm afterwards and seeks to hold C liable. Advise / decide. Decoy: the retirement itself | Retiring partner remains liable to third parties dealing without notice until public notice is given (s.32, s.45) |
| Jun2011(100), Dec2013(100), Dec2017(100), Jun2019(100) | A and B agree to work together (carpenters / goldsmiths); A takes all the profits and pays B a fixed monthly sum (Rs. 5,000 / 8,000) as wages. Are A and B partners? Decoy: B’s “share” is really wages | Sharing of profits is not conclusive; a servant paid out of profits is not a partner (s.6, s.7) |
| Jun2012(100) | A, B, C & Co., a newly constituted firm, begins business without registration; debtor D defaults on Rs. 1 lakh; the firm sues, then registers immediately; would it succeed? Would the answer differ if D (a creditor) sued the unregistered firm? Decoy: registration after filing suit | Effect of non-registration — s.69 bars suits by an unregistered firm but not suits against it |
| Jun2013(100) | An unregistered firm borrows Rs. 1,00,000 from X and fails to repay; what can X do to recover? Decoy: the firm being unregistered | A third party may sue an unregistered firm; s.69 bar operates only against the firm’s own suits |
| Dec2016(100) | A and B form a trading partnership for five years; after two years A is convicted of travelling on the railway without a ticket; A petitions to dissolve the firm on the ground of his own misconduct. Will he succeed? Decoy: A relying on his own wrong | Dissolution by court for misconduct (s.44) — a partner cannot rely on his own misconduct |
| Jan2012(100) | Two doctors form a firm; one is punished for the offence of rape; the other seeks dissolution. Can he? Decoy: conduct unconnected with the business | Dissolution by court — partner guilty of conduct prejudicially affecting the business (s.44) |
| Jan2012(100) | W, an active partner, resigns and then starts a new competing business. Can he? Decoy: his former partner status | Outgoing partner’s right to compete (s.36) subject to any valid restraint |
| Jun2012(100) | Three bus companies, each having ten partners, combine into one firm (thirty partners); the firm enters contracts. Are they enforceable? Decoy: combining existing firms | Maximum number of partners / association exceeding the limit — illegal association |
| Jun2015(100) | P, Q and R agree to ply motor buses for 20 years; after four years of continuous losses P insists on continuing; can he? What is open to Q and R who wish to stop? Decoy: the fixed term | Dissolution by court — business carried on only at a loss (s.44) |
| Nov2021(80), Jan2026(80) | Two persons agree to invest in a 2:1 ratio and start a firm; they earn Rs. 3,00,000 profit in a year; how do they share it? Decoy: the 2:1 investment ratio | In the absence of an agreement on profit-sharing, partners share equally (s.13) regardless of capital contributed |
| Feb2025(80) | A partner among three uses the firm’s property for his private benefit without authority, causing the firm a huge loss; the remaining partners seek a remedy. Decoy: it is firm property | Partner’s duty to use firm property only for the firm; liability to account for private profits/loss (s.9, s.15, s.16) |
📅 Unit 5 — Sale of Goods Act
Topic-wise Questions
| # | Topic | Questions & Frequency |
|---|---|---|
| 5.1 | Contract of sale & agreement to sell — definition, distinction | [16M] Define contract of sale; distinction between sale and agreement to sell — Jun2011(100), Jun2017(100); [10M] Apr2021(80), Nov2022(80), Apr2023(80, define sale; sale v agreement to sell); [SN] Contract of Sale — Dec2013(100) ⭐⭐⭐ |
| 5.2 | Conditions & warranties — meaning, distinction, implied conditions & warranties | [16M] Conditions & warranties implied by law — Jan2011(100); define condition & warranty; conditions implied by description; when a condition sinks to a warranty — Jun2012(100); distinguish condition & warranty — Dec2012(100), Dec2013(100), Dec2020(100); [10M] Apr2021(80, implied), Nov2021(80, implied), Apr2023(80, implied), Jun2025(80, express & implied warranties); [SN] Conditions and Warranties — Jun2016(100), Dec2019(80) ⭐⭐⭐ |
| 5.3 | Caveat emptor — doctrine & exceptions | [16M] Doctrine of caveat emptor; exceptions — Jun2011(100), Jun2014(100), Dec2014(100), Dec2018(100), Apr2022(100); rule of caveat emptor with exceptions — Jun2015(100); [10M] Mar2022(80), Aug2024(80), Feb2025(80), Jan2026(80); [SN] Caveat Emptor — Jun2013(100) ⭐⭐⭐ |
| 5.4 | Passing of property from seller to buyer | [16M] Rules relating to passing of property — Jun2013(100); when does property in goods pass — Dec2012(100) ⭐ |
| 5.5 | Transfer of title by non-owner — “nemo dat quod non habet” & exceptions | [16M] Maxim nemo dat quod non habet & exceptions — Jan2011(100); “no one can transfer a better title than he himself has” — discuss — Jun2012(100), Dec2016(100), Dec2017(100), Dec2020(100), Apr2021(100); [10M] Dec2019(80), Aug2024(80) ⭐⭐⭐ |
| 5.6 | Unpaid seller — definition & rights (lien, stoppage in transit, resale) | [16M] Who is an unpaid seller; rights against the goods — Jan2012(100), Jun2012(100), Jun2014(100), Dec2014(100), Jun2017(100), Dec2017(100), Jun2019(100), Apr2021(100), Apr2022(100), Nov2022(100), Jun2018(100); unpaid seller’s right of lien v stoppage in transit — Dec2015(100); [10M] Dec2019(80), Mar2022(80); [SN] Unpaid seller — Dec2012(100), Dec2013(100); Stoppage in transit — Jun2016(100), Apr2021(80), Aug2024(80), Dec2019(100) ⭐⭐⭐ |
| 5.7 | Performance of the contract; remedies for breach (seller’s & buyer’s) | [16M] Remedies for breach of contract of sale — Jan2012(100), Dec2013(100), Jun2015(100), Dec2015(100); rights of seller & buyer for breach — Jun2013(100), Dec2018(100), Dec2019(100); [10M] Feb2025(80) ⭐⭐⭐ |
| 5.8 | Goods — meaning & kinds; auction sale | [SN] Goods — Dec2012(100), Apr2023(80), Jun2025(80); Auction Sale — Jun2013(100), Apr2023(80) ⭐ |
| 5.9 | Hire-Purchase Act (prescribed material; appears only in old pre-2014 100-mark papers — confirm current relevance with examiner) | [16M] Define hire-purchase agreement & salient features; rights & obligations of owner/hirer; distinguish from sale — Jan2011(100), Jun2011(100); [SN] Assignment & transmission of hirer’s rights, Contents of HP agreement, Implied warranties — Jan2011(100), Jun2011(100) ⭐ |
Application Problems (all papers)
Every fact-pattern problem from every paper. Look-alikes merged into ONE row with neutral labels and all years; genuinely different problems kept separate.
| Year(s) (paper) | Problem summary (neutral labels, with the decoy) | Key issue |
|---|---|---|
| Jan2012(100), Jun2012(100), Dec2019(80), Aug2024(80), Dec2017(100), Jun2019(100) | A agrees to supply 100 barrels/tons of oil/sugar to B; A despatches an excess (120 / 150); B refuses the whole. Advise A. Decoy: only the excess is wrong | Delivery of wrong (excess) quantity — buyer may reject the whole or accept the contract quantity (s.37) |
| Jun2012(100), Apr2021(80), Apr2022(100) | A buys a diamond necklace from B, pays, but leaves it in B’s possession; B sells the same necklace to C at a higher price. Does C get a better title? Can A sue C? Decoy: A is the true owner | Seller in possession after sale passes good title to a bona fide buyer (s.30(1)) |
| Jan2011(100) | A jeweller delivers jewellery to B “on sale or return”; B pledges it with a pawnbroker without paying; A sues B for the price. Can A succeed? Decoy: it was “on approval” | Sale or return — pledging signifies acceptance; property passes, price recoverable (s.24) |
| Jun2011(100), Dec2020(100) | A gives a golden ring to B “on sale or return”, to be returned in ten days if not approved; B pledges the ring with C without signifying approval; price unpaid; A sues C to recover the ring. Decoy: B never expressly “approved” | Sale or return — an act adopting the transaction (pledge) passes property; A cannot recover from C (s.24) |
| Dec2015(100) | Baba Co. delivers 25,000 gas meters to NB Co. on sale or return; NB returns them after eight months; Baba refuses and sues for the price. Will Baba succeed? Decoy: lapse of time before return | Sale or return — property passes if goods not returned within a fixed/reasonable time (s.24) |
| Jun2011(100), Mar2022(80), Nov2022(80) | Three joint owners; the goods (horse) are in the sole possession of one with the others’ permission; he sells to a bona fide buyer D without authority; the others say the sale is void. Decide. Decoy: he is only a co-owner | One of several joint owners in sole possession can pass good title to a bona fide buyer (s.28) |
| Jun2012(100) | A dentist agrees to make and fit a set of artificial teeth into a patient’s mouth for Rs. 5,000, finding all the material himself. Is it a contract for the sale of goods? Decoy: materials supplied by the dentist | Sale of goods vs contract for work, skill and labour |
| Jan2012(100) | P buys a dead pig from a pork dealer; the family consumes it, falls ill because it was unfit; P sues for damages. Decide. Decoy: buyer chose the goods | Implied condition of fitness / merchantable quality for food (s.16) |
| Jun2012(100), Jun2014(100) | A asks chemist B for a hot-water bottle; it bursts and injures A’s wife; is B liable to refund? Decoy: only “fitness for hot water” implied | Implied condition of fitness for purpose (s.16; Priest v Last) |
| Jun2014(100), Jun2016(100), Dec2018(100) | A buyer purchases a motor car, uses it for several months, then must surrender it to the true owner because the seller had no title; he sues to recover the full price paid. Can he? Decoy: months of use/enjoyment | Breach of implied condition as to title — total failure of consideration, full price recoverable (s.14; Rowland v Divall) |
| Dec2014(100) | A seller agrees to supply 200 tons of “Java sugar” warranted equal to sample; the goods match the sample but are not Java sugar; buyer’s remedy? Decoy: correspondence with sample | Sale by sample and description — goods must satisfy both (s.15, s.17) |
| Aug2024(80), Jan2026(80) | A seller undertakes to supply 100 tons of rice of the kind shown as sample; the rice supplied does not correspond to the sample; buyer’s remedy? Decoy: bulk vs sample | Sale by sample — bulk must correspond with sample (s.17) |
| Jun2016(100), Jun2018(100) | A buyer purchases milk containing typhoid germs; his wife consumes it, is infected and dies; is the seller liable in damages? Decoy: latent contamination | Implied condition of fitness/merchantability for food (s.16; Frost v Aylesbury Dairy) |
| Dec2016(100) | A agrees to sell B 10 bags of rice out of 50 bags that had been destroyed by fire; can B compel A to supply? Decoy: part of a larger lot | Goods perishing before sale — agreement void for impossibility (s.7, s.8) |
| Jun2015(100) | A sells B sugar lying in A’s warehouse on two months’ credit; B leaves it there and becomes insolvent before the credit period expires; the official receiver demands delivery without paying. A’s rights? Decoy: credit term not yet over | Unpaid seller’s lien / right against an insolvent buyer (s.47, s.54) |
| Dec2016(100), Dec2018(100), Apr2021(100) | X employs Y to recover a debt of Rs. 1,500 from Z; the debt becomes time-barred through Y’s negligence; is Y entitled to remuneration? Decoy: Y did “act” on the matter (agency-flavoured problem appearing in the Sale/general problems pool) | Agent’s right to remuneration lost by misconduct/negligence (s.219, s.220) — cross-listed; primary home Unit 3 |
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