75 Questions
In estimating loss arising from a breach of contract, which factor must be considered?
The means available to remedy the inconvenience caused by non-performance
What is the entitlement of the party affected by a breach of contract if a sum is specified in the contract as penalty for such a breach?
Entitled to reasonable compensation not exceeding the specified sum
Under what circumstances is a party rightfully rescinding a contract entitled to compensation?
If the party has sustained damage due to the non-fulfillment of the contract
Which Act emphasizes arbitration as a method to settle commercial disputes quickly and enforce contracts effectively?
The Arbitration & Conciliation Act, 1996
When did the Arbitration & Conciliation Act, 1996, come into effect?
25.01.1996
What does the Indian Contract Act of 1872 provide for concerning breaches of contract?
Entitlement to reasonable compensation for breaches even if no actual damage is proven
What is the definition of a contract according to Section 2(h) of the Indian Contract Act, 1872?
A set of promises enforceable by law
Which of the following is NOT an essential requirement for a valid contract?
Public registration of the contract
What is the significance of the parties being competent to enter into a contract?
It confirms that the parties have the legal capacity to enter into a contract
In the context of contracts, what does 'free consent' between parties refer to?
Consent given voluntarily without any undue influence
Why is it essential for a contract to have certainty and possibility of performance?
To guarantee that the obligations can be fulfilled as agreed
Which type of agreements are excluded from being considered as contracts?
Agreements made between close family members
What is the primary focus of a public procurement professional in relation to legal aspects?
Understanding the implications of key laws affecting procurement of works
Which act governs arbitration related to public procurement contracts in India?
Arbitration and Conciliation Act, 1996
In the context of public procurement, what does the Central Vigilance Commission Act, 2003 primarily deal with?
Dealing with corruption issues
Which law regulates the use of electronic methods for procurement like e-procurement and e-auction?
Information Technology Act, 2000
What is the relevance of the Indian Contracts Act, 1872 in public procurement?
It lays down the laws governing contracts in India
Why is it important for a public procurement professional to be aware of the Competition Act, 2002?
To ensure a fair and competitive bidding process
What is the significance of both parties needing to be competent to enter into a contract?
It establishes the legal capacity of the parties to make decisions.
Which factor is NOT an essential requirement for a valid contract?
The contract must be in writing
Why is it important for an agreement to have certainty and possibility of performance?
To prevent disputes and provide clarity on expectations
What is the primary focus of the Indian Contract Act, 1872 in relation to contracts?
Ensuring contracts are enforceable by law
In the context of contracts, what does 'free consent' between parties refer to?
Consent given voluntarily without coercion or undue influence
Why is a public procurement professional expected to be generally aware of the Indian Contracts Act, 1872?
To understand the implications of breach of contract in public procurement transactions
Which law primarily governs the resolution of commercial disputes and enforcement of contracts quickly in India?
Arbitration and Conciliation Act, 1996
What is the main focus of a public procurement professional regarding the Competition Act, 2002 in India?
Promoting fair and healthy competition in public procurement contracts
Why is it essential for a public procurement professional to be aware of the Prevention of Corruption Act, 1988?
To prevent corruption in public procurement transactions
In the context of public procurement contracts, what does the Right to Information (RTI) Act, 2005 primarily focus on?
Promoting transparency and accountability in the public procurement process
What is the time restriction for arbitral tribunals to make their award in international commercial arbitrations, as per the amended Act 33 of 2019?
12 months
Under the Arbitration & Conciliation Act, an arbitration agreement must be:
In writing
If there is an arbitration agreement between parties and an action is brought before a judicial authority, what action should the judicial authority take?
Refer the parties to arbitration
Which section of the Arbitration & Conciliation Act deals with the power to refer parties to arbitration when there is an arbitration agreement?
Section 8
What kind of disputes can be submitted to arbitration according to the definition in the Indian Contract Act of 1872?
Certain disputes that have arisen or may arise
According to the Indian Contract Act of 1872, what is the term used for the person making a proposal?
Promisor
What is the term for a proposal that, when accepted, becomes a promise under the Indian Contract Act of 1872?
Promise
In the context of the Indian Contract Act of 1872, what is the term used for the person accepting the proposal?
Promisee
Under the Indian Contract Act of 1872, what is defined as the act or promise done at the desire of the promisor?
Consideration
In the context of contracts, what is an agreement under the Indian Contract Act of 1872?
A set of promises forming consideration for each other
What must be taken into account when estimating the loss or damage from a breach of contract?
The available means of remedying the inconvenience
Under Section 74 of the Indian Contract Act, what compensation is a party entitled to if a sum is named in the contract as an amount to be paid in case of a breach?
Reasonable compensation not exceeding the sum named
What is the entitlement of a party who rightfully rescinds a contract according to Section 75 of the Indian Contract Act?
Compensation for any damage sustained
What does the Arbitration and Conciliation Act, 1996, aim to provide for in terms of resolving commercial disputes?
Quick enforcement of contracts globally
When did the Arbitration and Conciliation Act, 1996, come into effect?
25.01.1996
According to the Indian Contract Act, 1872, an agreement is void if the consideration involves or implies:
Injury to the person or property of another
Under what circumstance is an agreement without consideration void unless expressed in writing and registered under the law?
It is made on account of natural love and affection between parties standing in near relation to each other
What renders an agreement void under Section 29 of the Indian Contract Act, 1872?
Uncertainty in the meaning of the agreement
When are parties required to perform their contractual promises according to the Indian Contract Act, 1872?
Unless performance is excused under this Act or any other law
What will make an agreement void under the Indian Contract Act, 1872?
Involvement of illegal objects or considerations
What role does the conciliator play in the conciliation process according to Section 67?
Assisting parties to reach an agreement
When can the conciliator make proposals for a settlement of the dispute?
At any stage of the conciliation proceedings
What happens when parties sign a settlement agreement?
It becomes final and binding on the parties
What is the status and effect of a settlement agreement according to Section 74?
It is equivalent to an arbitral award
What is the impact of drawing up and signing a written settlement agreement?
Makes the agreement legally enforceable
How are proposals for a settlement of a dispute presented according to Section 67?
In writing without reasons
What effect does the authentication of a settlement agreement by the conciliator have?
Makes it legally valid
What does Section 66 specify regarding the conciliator's obligation during conciliation?
The conciliator is not bound by Indian Evidence Act or Code of Civil Procedure
What is required for a settlement agreement to be considered final and binding according to Section 73?
Authentication by the conciliator and signatures from all parties involved
According to Section 74 of the Indian Contract Act, what compensation is a party entitled to if a sum is named in the contract as an amount to be paid in case of a breach?
Reasonable compensation not exceeding the amount named
What entitlement does a person have when rightfully rescinding a contract according to the Indian Contract Act?
Entitled to compensation for any damage sustained
What must be taken into account when estimating loss or damage arising from a breach of contract?
Means of remedying the inconvenience caused by non-performance
In case of a breach, why is reasonable compensation allowed under Section 74 even if no actual damage is proven?
To provide fairness and discourage breaches
What is the primary purpose of arbitration in resolving commercial disputes under the Arbitration and Conciliation Act, 1996?
Quick enforcement of contracts
Which type of compensation is a party entitled to under Section 75 when rightfully rescinding a contract?
$1 million or the loss incurred through non-fulfillment, whichever is higher
What is the primary purpose of resorting to arbitral or judicial proceedings in the context of public procurement contracts?
To quickly resolve commercial disputes and enforce contracts effectively
In the Indian Contract Act, 1872, what is considered essential for a contract to be legally valid?
Certainty and possibility of performance
What is the consequence of communication through contracts in public procurement?
Ensuring a smooth and clear transaction process
Under the Indian Contract Act, 1872, what renders an agreement void?
Uncertainty or impossibility of performance
What is the significance of a settlement agreement in resolving disputes related to public procurement contracts?
To provide a final and binding resolution
What is the main focus of public procurement professionals regarding arbitration and conciliation in resolving contract disputes?
To ensure quick and effective resolution of disputes outside courts
What is the primary focus of the Indian Contract Act, 1872 in relation to contracts?
Establishing the legality and enforceability of agreements between parties
When a contract is deemed void under the Indian Contract Act, 1872, which factor is typically involved?
A promise that is not enforceable by law
Which essential requirement for a valid contract emphasizes that both parties must be legally capable of entering into an agreement?
Parties should be competent to enter into contracts
If an agreement is void due to being expressly declared so under the Contract Act or another law, what does this signify about its legal standing?
It has no legal standing and cannot be enforced
In terms of resorting to arbitral or judicial proceedings, what is the significance of free consent in a contract?
It ensures that parties have agreed without any external pressure
How does the Indian Contract Act, 1872 contribute to resorting to arbitral or judicial proceedings?
By establishing the legal framework for enforcing contracts through courts
Learn about contracts, agreements, and the Indian Contract Act, 1872. Understand the definition of a contract, enforceability by law, and the parties involved in a contract.
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