Chapter 8 PRACTICAL PROBLEMS

by • 05/06/2013 • GeneralComments (0)265

PRACTICAL PROBLEMS

 

(1) X undertakes put life into the dead wife of Y and takes his fees Rs.5000 in advance. X fails to do so, T claims Rs.5,000. Is Ts claim valid?

Solution: Section to which the given problem relates: [Section 56 (Para 1), and Section 65]

Decisions Y’s claim is void.

Reason:(a) The agreement is void-ab-initio [Section 56 (Para 2)].

(b) The person who received any advantage under a void agreement is bound to restore it [Section 65].

 

(2) X ofKarachiagreed to sell 100 bales of cotton @Rs. 1,000 per bale and to deliver within a fortnight at buyer’s godown atLahore. X failed to supply these goods, state the legal position in each of the following alternative cases:

Case (a) If, unknown to both the parties, the goods were destroyed by fire at the time of agreement.

Case (b) If X knew that goods were destroyed by fire at the time of agreement.

Case (c) If the goods were destroyed by fire after the formation of agreement.

Case {d} If war is declared between India and Pakistan-

Case (e) If these goods were to be manufactured by Z who is ready to supply (Rs. 1,100/- per bale because of unexpected increase in the cost of material and labour.

Case (f) If these goods were to be manufactured by Z who did not manufacture those goods.

Case (g) If these goods could not be delivered because of strike of transport operators.

Solution: Section to which the given problem relates: Section 56.

Decision and Reasons

Cast (a) The contract is void on the ground of mutual mistake.

Case (b) The contract is void but X, the promisor, must compensate the buyer for the promise for

any loss, which such promise sustains through the non-performance of the promise. Case (c) & (d) The contract have become void on the ground of supervening possibility. Case (e) The contract is not discharged because of commercial impossibility. Case (f) The contract is not discharged because of default of third party.

Case (g) The contract is not discharged because of non-performance due to strikes, lockout or civil disturbances.

(3) Mr. X, a Hindu contracts to marry 7 a Muslim. State the legal position in each of the following alternative cases: Case (a) If Mr. X is already married to Z who lives with X; Case (b) If Mr. X goes mad before the date fixed for marriage; Case (c) If Mr. X dies before the date fixed for marriage. Solution: Section to which the given problem relates: Section 56

 

Decisions and Reasons:

Case (a) The contract is void ab-initio because law forbids such contract. -X must compensate Y for the loss caused to her by the non-performance of the promise- Case (b) The contract becomes void because of change in the state of things, which formed the basis of the contract Case (c) The contract is discharged on the death of X.

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