Objective Questions with Answers on Law Of Contract - 61

1) In contract of guarantee, the person to whom guarantee is given is known as :

A) Creditor

B) Surety

C) Principal debtor

D) Debtor

Answer : A

2) In contract of guarantee, the person in respect of whose default the guarantee is given, is known as :

A) Creditor

B) Surety

C) Principal debtor

D) Debtor

Answer : C

3) Section 134 of Indian Contract Act, 1872 provides :

A) Discharge of Surety by release or discharge of Principal debtor

B) Liability of two persons, primarilly liable, not affected by arrangement between them that one shall be Surety on other's default

C) Continuing guarantee

D) Revocation of Continuing guarantee

Answer  : A

4) Section 148 of Indian Contract Act,1872 provides :

A) Bailment, bailor and bailee defined

B) Bailee when not liable for loss etc., For things bailed

C) Bailor's duty to disclose faults in goods bailed

D) Effect of mixture, without Bailor's consent, when the goods can be separated.

Answer : A

5) If the bailee, with the consent of the bailor, mixes the goods of the bailor with his own goods, the bailor and the bailee shall have an interest, in production to their respective shares, in the mixture thus produced , it is :

A) True

B) False

C) Partly False

D) Not clear

Answer : A