2007 BUSINESS LAW EXAMINATION PAPER

1. (a) Define the term contract and explain the essential of a valid contract ?
(b) An auctioneer in a newspaper that auction of office furniture wouid be held at delhi. B a broker of bombay reached Delhi on the appointed date and time. But the auctioneer with drew all the firniture from the auction. The broker sued him for the loss of time and expences. will he succed ?

2. (a) Dewscribe the position of principal and agent in relation tot hird parties ?
(b) C offers to sell to D a painting which C knows is a good copy of a well known masterpieces. D think that the painting is a original one and that C must be unaware of this, immediately accepts D's is offer. Does this result in a contract ?

3. (a) When does the property in the commodity passes to the buyer especially in the case of specific goods ?
(b) A Delivers a gold necklace to B on "Sales returns" basis. It is agreed between A & B that property is not to pass to B until he has paid the price for the necklase. with out paying the price, B sells the necklace to C. Does C get a good title to the neclace ?

4. (a) What is " Doctrine of Indoor Management"? Explain the exceptions to the Doctrine ?
(b) Under the articles, the directors of a Co. had power to borrow up to Rs. 10,000 with out the concent of the general meeting. The directors themselves lent Rs. 35,000 to the company with out such consent and took debetures. IS the company liable for Rs 35,000 ?

5. (a) Explain in detail the "Welfare" provisions of the Factories Act ?
(b) In wives of three work men are employed in a textile factory to work in place of their husbands for about half an hour everyday after 7p.m., while the latter take meals brought by them. Discuss if there is a violation of any provisions of the Factories Act 1948 ?

6. (a) How a court of Enquiry is constituted ? Explain itrs duties and powers ?
(b) A workman, on completion of the day's work, was going home on the way he was injured by an accident, with out any fault or negligence on his part. Is the employer liable to pay compenstion ?