Business Regulatory Framework

Unit I

[ Indian Contract Act 1872 ]

[ 2 Marks each]

1. Define “Agreement” or “Promise”.

2. What is Implied Contract?

3. Define “Offer” or “Cross Offer”.

4. What is voidable contract?

Or

Is Void contract and voidable contract same?

5. What is “Counter offer”?

Or

Can an offer be conditional?

6. Define “past consideration” & also state whether it is allowed in India.

7. Define “Coercion”.

8. What is Supervening Impossibility?

9. What is Contract of Indemnity or Guarantee?

10. Explain the phrase “Quantum Meruit”?

11. What is Void Agreement?

12. What do you mean by undue influence?

13. What is “Express Offer”?

Or

What is “Cross Offer”?

14. What is Past consideration or future Consideration?

15. What is enforceability of Agreement?

16. What is unenforceable Agreement?

17. Should Consideration be adequate?

18. Can a minor be declared insolvent?

19. What is discharge of a contract?

20. What is Bailment?

21. Does a threat to commit suicide amount to Coercion?

22. What is “Quantam Meruit”?

Group-B

[ 6 Marks each]

1. “All illegal contracts are void but all void contract are not illegal” – Explain.

2. “The law of contract is not the whole law of agreement”

Or

“The law of contract is not the whole law of obligation” – Explain.

3. Distinguish between void contract & voidable contract.

4. Distinguish between Coercion and Undue influence.

5. Distinguish between Wagering agreement and Contingent contract.

6. Mention two ways of termination of contract.

7. What is the effect of any agreement made by person not qualified to contract?

8. “Invitation to offer is not an offer” – Explain with examples.

Or

Discuss the difference between an offer and invitation to offer.

9. Discuss the different types of offer.

10. Define contract of Indemnity & write down its characteristics.

Or

11. Define contract of Guarantee & write down its characteristics.

12.Whether “Agreeing to agree” in future is a contract?

13.“Mere Silence is not fraud” – Explain.

14.“Is contract of Insurance a Wagering Agreement?” – Explain.

15.“Minor‟s agreement is “Void ab initio” – Explain.

Group- C

[ 12 marks each]

1. Discuss how an offer is made, accepted and revoked.

2. Discuss the rule that a Stranger to a contract cannot sue on the contract and

exceptions to this rule.

3. What are the different ways of discharging a contract.

4. State the remedies allowed to the aggrieved person in case of breach of contract.

5. Define contract of guarantee. Distinguish between contract of indemnity and a

contract of guarantee.

6. Define Minor and discuss the effects of Minor‟s Agreement.

7. Mention the essentials of valid consideration/ Rules of consideration and briefly

explain the particular point “The consideration need not be adequate”.

8. Discuss the situation where contracts are not required to be performed.

9. Discuss performance of joint promise.

10. What is a contract of agency? Define and explain the term “principal” and “agent”.

What are the essentials of Agency.

Or

Discuss the different types of agent.

1. What are the essentials of a valid contract?

2. What is Supervening impossibility of a contract?

Under what circumstances it many happen?

3. What is Continuing guarantee?

When and how is it revoked?

4. Define the term Implied offer. What are the rules regarding offer?

5. Define Misrepresentation. State different types of it. & Distinguish it with Fraud.

6. Explain the term „tender‟. What are the essentials of a valid tender? State the

effect of refusal to accept a tender.

7. Define Consideration & how many types are there as per Indian Law. Do British

law consider all of them?

Discuss the Line = “Consideration need not to be adequate”.

Unit-2:

The Sale of Goods Act, 1930

Question of 2 marks:

1) What do you mean by Contract of Sale?

2) Define Buyer?

3) Define seller?

4) What is Goods?

5) Define Existing goods?

6) What do you mean by Future goods?

7) What is Specific goods?

8) Define Contingent goods?

9) What is Delivery?

10) Define Forward Delivery?

11) What do you mean by Document of title to Goods?

12) What is Condition?

13) Define Warranty?

14) Write two Conditions which are to be treated as Warranty?

15) What do you mean by Implied Condition?

16) What is Implied Warranties?

17) Write note on Sale by Sample as well as by Description.

18) What do you mean by “Caveat Emptor”?

19) Write two exceptions of Doctrine of Caveat Emptor.

20) Write the stages which are involved in the performance of a Contract of sale.

21) What is Document of title to goods?

22) What is Deemed reservation of the right of disposal?

23) Write note on Place of Delivery.

24) Write note on Acceptance of Delivery of goods.

25) Who is Unpaid seller?

25) What is Right of Lien?

26) Define Right of stoppage in transit.

27) Write note on Termination of Lien.

28) What do you mean by Sale by auction?

29) Define Hire-purchase agreement.

30) Write the effect of Pledge by the buyer.

31) What is FOB Contract?

32) Define CIF Contract.

Question of 6 marks:

1) What is Goods? Explain the classification of Goods.

2) Define delivery? Write the different types of Delivery.

3) What is Document of title to goods? Explain the features.

4) What are the essential elements of Contract?

5) Write note on Mode of Contract of Sale.

6) Distinguish between Sale and Hire-purchase.

7) What are the rules regarding the subject matters of Contract of Sale of Goods?

8) Difference between Condition and Warranty.

9) When Condition to be treated as Warranty?

10) Write note on Consequence of Breach of Warranty.

11) Explain Implied condition in shortly.

12) Write short note on Implied Warranty.

13) Write the Exceptions to the “Doctrine of Caveat Emptor”.

14) what are the precise moments of time when ownership of goods is

transferred from the seller to the buyer.

15) What is meant by a) Reservation of right to disposal and b) Deemed reservation of right to disposal.

16) Write the duties of Seller to goods.

17) Write duties of Buyer to goods.

18) Explain the right of Buyer.

19) Define Unpaid seller? Explain the different types of right of an Unpaid seller.

20) Discuss Right of lien.

21) Explain the Right of stoppage in transit.

22) Distinguish between Right of lien and right of stoppage in transit.

23) Explain the Right of resale of an Unpaid seller.

24) Discuss the rules regarding Auction Sale.

25) Explain the seller’s right against the buyer.

Question of 12 marks:

1) Difference between Sale and Agreement to sell.

2) Explain the different kinds of Implied conditions.

3) Discuss the different kinds of Implied warranties.

4) Explain The Doctrine of Caveat Emptor. Discuss the different exceptions.

5) Discuss the rules and circumstances when the ownership of goods passes

from the seller to the buyer.

6) “No seller of goods can give the buyer of goods a better tilte of goods than he

himself has”- explain the statement with exceptions.

7) Discuss the exceptions to sale by non-owner.

8) Explain the rules regarding the Delivery.

9) Define Unpaid seller? Explain the different rights of an unpaid seller.

10) Discuss the rights of an unpaid seller against the buyer personally.

11) Explain the Buyer’s right against the seller in case of Breach of contract.

Unit-3:

The Partnership Act, 1932

Question of 2 marks:

1) What do you mean by Partnership?

2) Define partner and firm.

3) What is Partnership at will?

4) Define Particular partnership.

5) Is registration of a firm compulsory?

6) Who is partner?

7) Discuss classification of partner.

8) Write two duties of a partner.

9) What do you mean by Partner by holding out?

10) Write two limitations of implied authority.

11) What do you mean by express authority of a partner?

12) Can a minor become partner of a firm?

13) Define dormant partner.

14) How can a partner retire?

15) What are the consequences of death of partner?

16) What are the liabilities of outgoing partner?

17) What do you mean by Dissolution?

18) Write short notes on compulsory dissolution.

19) Discuss about personal profit earned after dissolution.

20) Explain dissolution by agreement.

Question of 6 marks:

1) Explain the essential elements of partnership.

2) What do you mean by true partnership?

3) Distinguish between Partnership and co-ownership.

4) Discuss classification of partnership.

5) Explain Property of the firm.

6) Write notes on registration of the firm.

7) What are the consequences of Non-registration.

8) Discuss minor’s status in partnership.

9) Explain the limitation of the implied authority.

10) Discuss the liabilities of partner to the third parties.

11) Explain the rights of outgoing partner.

12) Can a partner be taken as agent of the firm or agent of others partner.

13) What are the consequences of

a) Insolvency of partner

b) Death of partner

14) Discuss the relation of partners with third parties.

15) How can a partner retire? How can a partner be expelled?

16) Discuss the grounds of dissolution of a partnership firm.

17) Under what circumstances a firm may be dissolved by the court?

18) Discuss the rights of buyer and seller of goodwill.

19) What are the modes of settlement of accounts between partners after

dissolution of the firm?

20) Is principle of Novation applicable to introduction of a new partner?

Question of 12 marks:

1) Distinguish between Partnership and company.

2) Difference between partnership and Hindu undivided family.

3) What are the procedures of registration? What are the effects of non-

registration?

4) Discuss the rights of partner.

5) Explain the duties of partner.

6) What are the rights and obligations of minor who is admitted to the benefits of partnership?

7) What do you mean by implied authority of a partner? What are the limitations?

8) Discuss the rights and liabilities of an outgoing partner.

9) Explain the different reasons for dissolution.

10) Discuss the consequences of dissolution of firm.

Unit IV

Negotiable Instrument

Group-A(2marks)

1. Define Negotiable instrument.

2. What is inchoate stamped instrument?

3. What is Endorsement under NI Act?

4. Who is holder in due course?

5. Who is drawee in case of need?

6. What do you mean by cheque?

7. What is special crossing cheque?

8. What is promissory note?

9. What is meant by “acceptance for honour”?

10. Define Bill of exchange.

11. What is restricted crossing?

Group-B(6marks)

1. Distinguish between –

(a) Bills of exchange & promissory note.

Or,

(b) Cheque & bills of exchange.

2. Discuss the features of negotiable instrument.

3. When negotiable instrument considered to be dishonored?

4. What are the rights of a holder-in-due course?

5. Mention essential elements of Bills of exchange.

6. Discuss the types of cheque and distinguish between cheque & promissory note.

7. What are the rights of a holder-in-due course?

8. When a canker may refuse to honour a customer’s cheque?

9. Define NI. When a NI declared to be honoured?

10. Discuss different types of endorsement.

Group-C(12marks)

1. Distinguish between general & special crossing of cheque.

Or,

Explain the effect of general & special crossing of cheque.

2. What is promissory note? What are the essentials of promissory note?

3. What do you understand by ‘Noting’ and protesting under NI?

4. Who is holder in due course? What are his rights? Discuss the privileges of a holder in due

course.

5. What do you mean by acceptance of a Bill of exchange? When Presentation of a Bill of

exchange for acceptance is not necessary? When can a banker refuse payment on his client

schedule?

UNIT V

CONSUMER PROTECTION ACT,1986.

A. SHORT TYPE QUESTIONS: (2marks)

1. Define “goods” as per Consumer Protection Act,1986.

2. Define “Consumer” under this Act.

3. What do you mean by the term “Unfair Trade Practice”?

4. “ A medical practitioner is rendering services free of charge to all patients”- Is it a service as per

Consumer Protection Act, 1986.?

5. What is the minimum number of meetings the Central Consumer Protection Council needs to

hold in a year?

6. What is the minimum number of meetings the State Council is required to hold annually ?

7. How many redressal agencies are there under Consumer Protection Act?

8. Define District Forum.

9. Define State Commission.

10. What is the penalty U/S 27 of the Consumer Protection Act,where a trader fails to comply with

any order made by the District Forum,State commission or National commission?

11. What do you mean by the term “Complaint”?

12. What do you mean by the term “Memorandum of Appeal”?

B. LONG/MEDIUM TYPE QUESTIONS. (6/12marks)

1. What are the objectives of Consumer Protection Act,1986?

2. Discuss the constitution and objectives of State Consumer Protection Council.

3. Discuss the constitution and objectives of Central Consumer Protection Council.

4. Discuss the composition and jurisdiction of District Forum.

5. Discuss the jurisdiction and composition of State Council.

6. Discuss the jurisdiction and composition of National Commission.

7. what are the rights of consumer as per Consumer Protection Act,1986?

8. Who can file a complaint? Discuss the procedure to file a complaint.

9. Discuss the procedure on receipt of complaint by the District Forum.

10. Discuss the powers of District Forum.

11. Discuss the procedure of appeals to State,District and National Forum.

12. Discuss the procedure of appeal before National Commission.

Module 2

Company law

Unit-1

Introduction

Group-A (2marks)

i. Define a Company as per Companies Act 2013?

ii. Mention two features of a Company?

iii. Define Statutory company?

iv. What do you mean by perpetual succession of a Company?

v. Difference between Holding and Subsidiary Company?

vi. What is an illegal association?

Group-B (6marks)

i. Point out the differences between Public &Private company?

ii. Procedure followed for converting a public ltd company into private ltd company?

iii. Write short notes on-(a)Producer company (b)Defunct company (c)Foreing company

iv. Consequences of forming illegal association enumerate the answer with a relevant case

law

Group-c (12marks)

i. Define Private company? What are the advantages and obligations of it?

ii. What do you mean by “Corporate Veil”? Under what circumstances lifting of corporate

veil is possible.

iii. Explain the concept of separate entity of a company form of business with suitable

examples?

Unit-2:

Articles and Memorandum of Company

Group –A(2marks)

i. Define Memorandum of Association? state two purposes of it.

ii. What do you know about registered office clause of Memorandum?

iii. What is Capital clause of MOA?

iv. What is doctrin of Ultra Vires?what are its exeptions

v. Mention two procedure for alteration of object clause

vi. What do you mean by Articles of Association? Which companies must have their own

AOA?

vii. What is a prospectus?

viii. What is a Depository?

Group-B(6marks)

I. What are the form & contents of Articles of Association?

II. Distinguish between Memorandum of Association and Articles Of Association?

III. Explain concept of Indoor management and also state its exeptions

IV. What is the procedure for alteration of Articles Of Association?

V. Discuss the legal aspects of change of name clause of MOA

VI. Discuss the criminal and civil liability in connection with the mis-statement of

prospectus?

Group-c(12marks)

i. Memorandum of Association is the fundamental law or charter of a Company-Explain

ii. Write short notes on (a)shelf prospectus (b)Red-herring prospectus (c)Abridged

prospectus

iii. What is Mis-statement in a prospectus ?who are liable for untrue statement? What is

the nature and extent of liability?

iv. Explain in brief what is Dematerialisation of shares & its process ?

v. What are the matters to be stated in prospectus of a company? What are the

consequences of not able to raise the minimum subscription requirement?

Unit -3:

Formation of a company

Group-A(2marks)

i. Define Promoter/state two functions of Promoter?

ii. What is Certificate of Incorporation?

iii. What is pre-incorporation contract?

iv. What is Allotment of shares? Maximum remuneration a promoter can get in the

formation of a Company?

Group-B (6marks)

i. Discuss the legal position of the promoter? What are his duties and liabilities?

ii. Discuss the steps involved in formation of a Company

iii. State the procedure for allotment of shares?state the statutory restrictions for allotment

Group-C (12marks)

i. Discuss the procedure for registration of and incorporation of a Company? What are the

effects of non-registration

ii. What are the duties & liabilities of a promoter with respect to company formation

iii. Whare can a company exercise its borrowing powers without issuing prospectus?penalty

for non compliance with stipulated regulations of Prospectus?

Unit-4:

Capital, Shareholders and Debentures

Group-A(2marks)

i. What do you mean by authorized capital?

ii. State differences between shares and stock?

iii. What do you mean by sweat-equity share?

iv. How is Capital Redemption Reserve to be utilized?

v. Explain the terms share issued at Premium and at Discount.

vi. What is ESOP?

vii. What is share certificate?

viii. What is share warrant?

ix. Can a company pay interest on capital out of profit?

Group-B(6marks)

i. How can share capital of a company be reduced?

ii. What are the rules regarding redemption of Preference shares?

iii. What are the different types of Share capital? explain briefly

iv. Distinguish between Bonus share &Right shares ?State the SEBI guidelines regarding

issue of shares

v. What is debenture? state different types of Debenture.

vi. Distinguish between Equity & Preference shares?

Group-C(12marks)

i. Can a company purchase its own buy-back of shares?state the procedure regarding buy-

back of equity shares?

ii. What is Forfeiture of shares?when can a company forfeit its shares &what are its

effects?

iii. State rules regarding registration of transfer of shares

iv. What do you mean by Lien on shares? When do a company loose lien ?

v. Discuss the rights and duties of share holder?

Unit-5:

Board of Management

Group-A(2marks)

i. Who is a Director as per Companies Act 2013? State the maximum and minimum

number of Directors in Public & Private companies/

ii. Who is a nominee director?

iii. State restrictions on appointment of Managing Director?

iv. Amount of penalty for not acquiring the qualification shares by Director/

v. What is a statutory Report? State four elements of it

vi. Define meeting?

vii. What is Proxy/

viii. Explain preferential payment

ix. Define Winding-Up?who can apply for compulsory winding up?

x. What is Tribunal? Who is an official liquidator?

Group-B(6marks)

i. What is a Quorum? Discuss the rules regarding quorum

ii. When special and ordinary resolutions are necessary

iii. State the provisions of holding statutory meeting

iv. State the different modes of appointment of Director

v. State the qualification and disqualifications of a director?

vi. “Directors are the trustees of Business”-explain

vii. What is compulsory removal of directors ?when can Central Government do so?

viii. Maximum and minimum Remuneration of Directors?

Group-C(12marks)

i. Discuss the rights , powers, and duties of Director?

ii. What are the different modes of appointment & removal of Directors?

iii. What is Annual General meeting? State the directives of Companies Act 2013 regarding

notice and holding of AGM of company?

iv. Classify meeting & the procedure of holding meeting

v. Discuss the grounds for compulsory Winding up?

vi. “The NCLT can wind –up the company on just and equitable grounds”- explain

vii. Discuss rights and liabilities of Contributories

viii. Discuss the rules of appointment, duties and powers of an Official Liquidator

ix. Difference between Voluntary ,Compulsory ,Creditors winding –up

x. Discuss the appointment , remuneration, rights & duties of a Managing director?

-Sirsha Biswas,HCC