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Daily Question: Legal - Law of Contracts

Acceptance sent through post

a. can be revoked at any time
b. cannot be revoked at all
c. can be revoked before it comes to the knowledge of the offeror
d. can be revoked only if it does not reach the offeror

Note: The answer will be revealed later today

Daily Question: Legal - Law of Contracts

Principle:
A principal shall be liable for any damage caused by the agent in the course of employment. The scope of an agent’s authority is conditioned not only by the powers conferred by the principal, but by the reasonable public perception of such authority.

Facts:
Omega is a well-known hospital, offering specialized facilities. When a patient comes to the hospital, the general physician examines him and refers him to the specialist concerned. The brochure of the hospital describes all the doctors as Omega’s doctors. But in fact all of them, including the general physician are independent people, using Omega’s facilities under contractual arrangements. Gokul, having gone through the brochure, came to the hospital seeking a cure for a rare kind of disease. He was admitted into the hospital and operated upon for some heart problem. Among the various documents he signed at the time of admission, there was a form where under Omega disclaimed liability for the negligence of doctor. Gokul signed all the documents mechanically as most of the patients tend to do under those agonizing circumstances. Due to the negligence of the operating surgeon, Gokul died. When his kith and kin filed a suit against Omega alleging negligence, Omega resisted the claim on the basis of the document signed by Gokul.

a. Omega shall not be liable, since the contract signed by Gokul exempted it from any liability

b. Omega shall not be liable, since it is not really in a position to control the specialist surgeon in the course of a complicated operation

c. Omega shall be liable, because Gokul was drawn into the hospital by its brochure,describing the various facilities available

d. A reasonable person should have enquired the relationship between the doctors and the hospital, hence his relatives have no claim

Note: The answer will be later today

Daily Question: Legal - Law of Contracts

Principle:
Consensus ad idem is essential for a contract to be valid.

Fact:
A who owns two cars, one Maruti and the other Santro, offers to sell B one car, A intending it to be the Maruti car. B accepts the offer thinking that it is the Santro.

Issue: Is A liable?

a. A is not liable because there is no consensus and hence no contract

b. A is liable because once he had offered the contract is complete

c. It is upto the court to decide the liability

d. The contract can be set aside by B

Note: The answer will be revealed later today

Daily Question: Legal - Law of Contracts

Principle:
Fraud consists of a misrepresentation of existing fact upon which the defendant intends that the plaintiff will rely, and upon which the plaintiff justifiably relies to his detriment.

Fact:
Mrs. Anand went to Mahazan Antique Shop to buy a vase. Mahazan showed her a vase and told her that it was of the Gupta period. Actually it was older and much more valuable than Mahazan thought. He added and believed that the vase was "absolutely unbreakable". Mrs. Anand said she did not care whether the vase was of the Gupta period, she bought it. Leaving the shop, she hailed a taxi driven by Suresh, an employee of the Capital Taxi Company. Suresh had just completed his duties for the day. However, he offered to drive Mrs. Anand home for his usual fee. Capital Taxi Company had a firm policy prohibiting its employees from carrying passengers while off duty. Suresh carelessly drove and took a turn without signaling. The taxi rammed into a truck carrying gasoline. Mrs. Anand was thrown to the floor of the taxi and injured her back. The vase was smashed.

In a suit for fraud brought by Mrs. Anand against Mahazan,

a. Mrs. Anand will win because the vase was smashed

b. Mrs. Anand will win because the vase was not of the Gupta period

c. Mrs. Anand will lose because Mahazan believed that the vase was unbreakable

d. Mrs. Anand will lose because she did not care whether the vase was unbreakable

Note: The answer will be revealed later today