100 sample questions on The Sale of Goods Act, 1930 for Jharkhand Judiciary Examination (preliminary)

1. The Sale of Goods Act, 1930 applies to the whole of India except

(a) Jammu & Kashmir

(b) Dadra and Nagar Haveli

ADVERTISEMENTS:

(d) all the above.

2. The Sale of Goods Act, 1930 came into force on

(a) 1st April, 1930

ADVERTISEMENTS:

(b) 1st July, 1930

(d) 31st January, 1931.

3. The Sale of Goods Act, 1930 is based on

ADVERTISEMENTS:

(a) the english Bills of Exchange Act, 1882

(b) the Transfer of Property Act, 1882

(d) the Indian Contract Act, 1872.

ADVERTISEMENTS:

4. The Sale of Goods Act, 1930 in its operationis

(a) prospective

(b) retrospective

ADVERTISEMENTS:

(d) only (c) and not (a) or (b).

5. In Sale of Goods Act several provisions of the Indian Contract Act have been retained

(a) to meet the need of the buyers

(b) to meet the need of the sellers

ADVERTISEMENTS:

(d) to meet special conditions existing in India regarding sale of goods.

6. The formalities attending the transfer of property in goods, under the conflict of laws, shall be governed by

(a) lex situs

(b) lex contractus

(d) locus regit actum.

7. Under the conflict of laws, the rights and obligations flowing out of a contract will be regulated by

(a) lex fori

(b) locus regit actum

(d) lex situs.

8. The term ‘buyer’, under the Sale of Goods Act, 1930, has

(a) been defined under section 2(1)

(b) been defined under section 2(2)

(d) not been defined.

9. The term “goods” in the sale of goods means

(a) specific goods only

(b) ascertained goods only

(d) subject matter.

10. The term ‘delivery’ has been defined, in the Sale of Goods Act, 1930 under

(a) section 2(3)

(b) section 2(2)

(d) section 2(4).

11. Under section 2(2) of the Sale of Goods Act, 1930, ‘delivery’ means

(a) gratuitous transfer of possession from one person to another

(b) involuntary transfer of possession from one person to another

(d) transfer of possession irrespective of whether it is gratuitous, involuntary or voluntary, from one person to another.

12. ‘Delivery’ within the meaning of section 2(1) of the Sale of Goods Act, 1930, can be

(a) actual

(b) constructive

(d) either (a) or (b) or (c).

13. It has been remarked that the Sale of Goods Act has not proved one of the more successful pieces of codification undertaken by the Parliament, by

(a) P.S. Atiyah

(b) S.K. Kapoor

(d) Justice Goda Raghuram.

14. Which of the following is an instance of constructive delivery of goods

(a) the transfer of bill of lading

(b) attornment by a person in possession of the goods

(d) only (b) and not (a). A bill of lading is

15. A bill of lading is

(a) a negotiable instrument like a bill of exchange

(b) a negotiable instrument like a promissory note

(d) neither (a) nor (b)

16. ‘The documents of title to goods’ in the Sale of Goods Act, 1930 have been described, under

(a) section 2(3)

(b) section 2(4)

(d) section (2).

17. The definition of ‘the documents of title to goods’ given in section 2(4) of the Sale of Goods Act, 1930, is

(a) exhaustive

(b) descriptive

(d) only (a) and not (b) or (c).

18. Which of the following documents is a document of title to goods

(a) bill of exchange

(b) promissory note

(d) all the above.

19. Which of the following documents is a document of title to ‘goods’ within the meaning of section 2(4) of the Sale of Goods Act, 1930

(a) Warehouse keeper’s certificate

(b) Warfinger’s certificate

(d) neither (a) nor (b).

20. Under section 2(4) of the Sale of Goods Act, 1930, which of the following documents is not a document of title

(a) pucca delivery order enabling a person to obtain delivery on payment of price

(b) mate’s receipt

(d) neither (a) nor (b).

21. ‘Future goods’ has been defined, in the Sale of Goods Act, 1930, under

(a) section 2(5)

(b) section 2(6)

(d) section 2(8).

22. Under section 2(6) of the Sale of Goods Act, 1930 ‘future goods’ means

(a) goods which are not yet in existence

(b) unascertained goods

(d) specific goods

23. The term ‘goods’ has been defined in the Sale of Goods Act, 1930, under

(a) section 2(5)

(b) section 2(6)

(d) section (8).

24. The definition of ‘goods’ as given in section 2(7) of the Sale of Goods Act, 1930, is the same as given

(a) of movable property under the General Clauses Act, 1897

(b) of movable property under the Transfer of Property Act, 1882

(d) Neither (a) nor (b) nor (c).

25. The definition of ‘goods’ under section 2(7) of the Sale of Goods Act, 1930 is

(a) descriptive

(b) exhaustive

(d) declaratory.

26. ‘Goods’ within the meaning of section 2(7) of the Sale of Goods Act, 1930 includes

(a) actionable claim(s)

(b) money

(d) neither (a) nor (b).

27. Section 2(7) of the Sale of Goods Act, 1930, the term ‘goods’ does not include

(a) stock and share

(b) growing crops

(d) neither (a) nor (b) nor (c).

28. Which of the following are ‘goods’ within the meaning of section 2(7) of the Sale of Goods Act, 1930

(a) things attached to land which are agreed to be severed before sale

(b) things forming part of the land agreed to be severed before sale

(d) neither (a) nor (b)

29. Transfer of actionable claim(s) is governed by

(a) The Transfer of Property Act, 1882

(b) The Sale of Goods Act, 1930

(d) all the above.

30. ‘A person is said to be ‘insolvent’ who has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due whether he has committed an act of insolvency or not’, is the definition of insolvency given in

(a) The Indian Partnership Act, 1932

(b) The Sale of Goods Act, 1930

(d) all the above.

31. Who is ‘insolvent’, has been stated in the Sale of Goods Act, 1930, under

(a) section 2(6)

(b) section 2(7)

(d) section 2(9).

32. The Sale of Goods Act, 1930

(a) does not define the term mercantile agent

(b) defines the term mercantile agentunder section 2(9)

(d) defines the term mercantile agent under section 3.

33. The question of the insolvency of a buyer, under the Sale of Goods Act, 1930, is of importance in connection with

(a) the seller’s lien on the goods

(b) the right of stoppage in transit

(d) only (a) and not (b).

34. “Mercantile agent” means the person

(a) who sell goods, or consigns for the purpose of sell, or buy goods or raise money on security of goods

(b) who only sell or purchase

(d) who only transfer goods.

35. ‘Price’ under section 2(10) of the Sale of Goods Act, 1930, means

(a) the money consideration

(b) the consideration given in the form of goods

(d) either (a) or (b) or (c).

36. The term ‘property’ has been defined, in the Sale of Goods Act, 1930 under

(a) section 2(9)

(b) section 2(10)

(d) section 2(12).

37. The word “Property” in the Sale of Goods Act, 1930 means

(a) seller or transferer

(b) buyer or purchaser

(d) ownership or title.

38. Under section 2(11) of the Sale of Goods Act, 1930, the property in goods means

(a) the general property or ownership ii goods

(b) the specific property or ownership ii goods

(d) either (a) or (b).

39. The propositions are

I. The general property in goods can be with one person while the special property in the same goods be with the another person.

II. The transfer of general property in goods to one person can be done subject to a special property in the same goods in another person.

III. The special property in goods can be only with the person having general property goods.

In respect of the aftersaid proposition which of the following is true

(a) I is correct, II & III are incorrect

(b) I & II are correct, III is incorrect

(d) II & III are correct, I is incorrect.

40. ‘Quality of goods’ under section 2(12) of the Sale of Goods Act, 1930 has a reference

(a) fitness for a particular purpose

(b) state or condition

(d) either (a) or (b) or (c).

41. The term ‘Specific goods’ has been defined in the Sale of Goods Act, 1930, under

(a) section 2(12)

(b) section 2(15)

(d) section 2(14).

42. Under section 2(14) of the Sale of the Goods Act, 1930, ‘specific goods’ means

(a) goods which are capable of identification

(b) generic goods

(d) either (a) or (c).

43. Which of the following are not goods within the meaning of section 2(7) of the Sale of Goods Act, 1930

(a) jubilee coins

(b) coins of antiquity

(d) none of the above.

44. Seller means a person

(a) who sells or agrees to sell goods

(b) who only sells good

(d) none of above.

45. Contract of Sale under section 4 of the Sale of Goods Act, 1930 comprises of

(a) executory contract of sale

(b) executed contract of sale

(d) only (a) and not (b).

46. The Fixed Deposit Receipts (FDRs) are goods within the meaning of section 176 of the Indian Contract Act, 1872 and section 2(7) of the Sale of Goods Act, 1930. The statement is

(a) false

(b) ambigous

(d) true.

47. In a contract of sale of goods, under section 4 of the Sale of Goods Act, 1930, there

(a) must be transfer of absolute or general property in the goods

(b) must be a transfer of special property in the goods

(d) neither (a) nor (b).

48. Whether a given contract is one of sale or some other kind of contract, in respect of goods, it is a question of

(a) form

(b) substance

(d) both form and substance.

49. A contract of sale under section 4 of the Sale of Goods Act, 1930

(a) may be absolute

(b) may be conditional

(d) only (a) and not (b).

50. The judgment of the Supreme Court in Indian Steel and Wire Products v. State of Madras, AIR 1968 SC 478, is a decision on

(a) sale and statutory transaction

(b) contract of sale and contract for work or service

(d) contract of sale and bailment.

51. The distinction between a contract for work or service and a contract for sale, has been summarised by the Supreme Court, in

(a) Safdarjung Sugar Mills Ltd. v. The State of Mysore & Others, AIR 1972 SC 87

(b) New India Sugar Mills Ltd. v. Commissioner of Sales Tax, Bihar, AIR 1963 SC 1207

(d) Commissioner of Sales Tax, Madhya Pradesh v. Purshottam Premji, 1970(2) STC 287.

52. Where under an agreement, the buyer has a right to return the goods at any time and thereby himself from any further obligation as regards payment is a contract of

(a) sale

(b) bailment

(d) agency.

53. A ‘sale of goods’ under the Sale of Goods Act, 1930, creates

(a) a jus in rem

(b) a jus in personam

(d) either (a) or (b) depending on the facts & circumstances of the case. 60.

54. Which of the following is true as regards an ‘agreement to sell’ in respect of goods

(a) it is an executed contract which creates a jus in rem

(b) it is an executory contract which creates a jus in personam

(d) it is an executory contract which creates a jus in rem.

55. In a conditional contract of sale of goods under section 4 of the Sale of Goods Act, 1930, the conditions

(a) has to be contingent

(b) has to be promissory

(d) only promissory and not contingent.

56. The distinction between sale and agreements to sell determines

(a) rights and liabilities of the parties to contract

(b) nature of goods in the contract

(d) price of the contract.

57. Where under a contract of sale of goods, obligations of one party are kept in abeyance till the fulfilment of certain conditions, it is a case of

(a) condition precedent

(b) condition concurrent

(d) either (a) or (b).

58. Where under a contract of sale, a condition provides for the defeasance of a certain right on the happening of a specified event, such a condition is a

(a) condition concurrent

(b) condition subsequent 65.

(d) either (a) or (c).

59. Where in a contract of sale, a condition his been inserted for the benefit of both the parties

(a) may be waived by either party unilaterally

(b) it may be waived by mutual agreement

(d) either (a) or (b).

60. In a conditional contract of sale of goods, a condition inserted for the benefit of one party is waived by that party, and that party

(a) cannot insist upon that condition in future

(b) can insist upon that condition in future as a matter of right

(c) can insist upon that condition in future only if that party gives a reasonable notice of such intention to the of party

(d) only (a) and not (b) or (c).

61. Where the goods are not specific and ascertained at the time of the making of the contract, the contract can be

(a) contract of sale

(b) agreement to sell

(d) neither (a) nor (b).

62. In an agreement to sell, the property in goods is transferred

(a) in future

(b) at present

(d) neither (a) nor (b).

63. Quasi-contracts of sale have been dealt with under

(a) the Sale of Goods Act, 1930

(b) the English Sale of Goods Act, 1893

(d) neither (a) nor (b).

64. Formalities of the Contract of Sale of Goods have been provided in the Sale of Goods Act, 1930, under

(a) section 5

(b) section 6

(d) section 7.

65. Which of the following is necessary for the formation of the contract of sale of goods under section 5 of the Sale of Goods Act, 1930

(a) payment

(b) delivery

(d) neither payment nor delivery.

66. Which of the following is not an essential ingredient of a contract of sale of goods

(a) passing of title in goods

(b) physical delivery of goods

(d) neither (a) nor (b).

67. Under section 5 of the Sale of Goods Act, 1930, a contract of sale of goods can be

(a) in writing

(b) by words of mouth

(d) either (a) or (b) or (c).

68. A contract of sale of goods under section 5 of the Sale of Goods Act, 1930 may provide for

(a) immediate payment and immediate delivery

(b) delivery of goods and payment by instalments

(d) only (a) and not (b).

69. If a transfer of title in goods from one person to the other is brought about under statutory compulsion, it will, within the meaning of the Sale of Goods Act, 1930

(a) be no sale at all

(b) always be a sale

(c) depend on the facts of each case and terms of the particular statute regulating the dealings whether there can be contract of sale

(d) only (b) and not (a) or (c).

70. Chapter II of the Sale of Goods Act, 1930 provides for

(a) subject-matter of contract of sale of goods

(b) formation of a contract of sale of goods

(d) performance of the contract of sale of goods.

71. Under section 6 of the Sale of Goods Act, 1930, the subject-matter of a contract of sale of goods, can be

(a) the existing goods owned and possessed by the seller

(b) the future goods which are yet to be produced

(d) only existing goods & not future goods.

72. A contract for sale of goods to be delivered at a future date shall

(a) be invalid if the seller has not the goods in present possession

(b) be invalid if the seller has not contracted for the purchase of those goods

(d) not be invalid if the seller has not got the goods in present possession nor has contracted for the purchase of the same nor has any expectation of getting them.

73. A contract of present sale of future goods, under section 6(3) of the Sale of Goods Act, 1930, operates as a

(a) contract of sale

(b) agreement to sell

(d) estoppel or quasi contract of sale.

74. A wagering contract is not

(a) forbidden by law

(b) void

(d) neither (a) nor (b) or (c).

75. In Gherulal Parekh v. Mahadeo Das Maiya & Other, AIR 1959 SC 781, it has been held that wagering contracts are

(a) opposed to public policy

(b) immoral

(d) neither opposed to public policy nor immoral.

76. In case of absence of transfer of title or registration, the purchaser

(a) can claim damages for breach of conditions or warrantees

(b) cannot claim damages for breach of conditions and warrantees

(d) none of above.

77. Section 7 of the Sale of Goods Act, 1930 is applicable

matter of sale are perished or damaged after the contract of sale

(b) where the goods which are the subject- matter of sale are perished or damaged before the contract of sale

(d) neither (a) or (b).

78. Section 7 of the Sale of Goods Act, 1930 makes contract of sale

(a) voidable at the instance of the buyer

(b) voidable at the instance of the seller

(d) neither (a) nor (b) nor (c).

79. Under section 7 of the Sale of Goods Act, 1930, a contract for sale of specific goods is void

(a) where the goods have perished/damaged without knowledge of the seller

(b) where the goods have perished/ damaged to the knowledge of the seller

(d) where the goods have perished/damaged to the knowledge of the buyer.

80. Section 7 of the Sale of Goods Act, 1930 is not applicable to

(a) f.o.b. contract

(b) c.i.f. contract

(d) neither (a) nor (b).

81. Section 8 of the Sale of Goods Act, 1930, in its application is

(a) confined to agreement to sell

(b) confined to contract of sale

(d) only (b) and not (a).

82. Section 8 of the Sale of Goods Act, 1930 deals with cases of

(a) impossibility of performance of the contract before the formation of the contract

(b) impossibility of performance of the contract at the time of formation of the contract

(d) all the above.

83. Section 8 of the Sale of Goods Act, 1930 is not applicable to

(a) generic goods

(b) specific goods

(d) none of the above.

84. Under section 8 of the Sale of Goods Act, 1930, the contract becomes

(a) void ab initio

(b) avoided from the date of perishing of goods

(d) only (a) and not (b) or (c).

85. Under section 8 of the Sale of Goods Act, 1930 a contract for sale of goods can be avoided where

(a) the goods have perished/damaged due to the fault of the buyer

(b) the goods have perished/damaged due to the fault of the seller

(d) the goods have perished/damaged due to the fault neither of the buyer/nor the seller.

86. A contract of sale of goods, on goods having been damaged/perished subsequent to the formation of the contract under section 8 of the Sale of Goods Act, 1930, can be avoided

(a) before the property in goods has passed to the buyer

(b) after the property in goods has passed to the buyer

(d) only (b) not (a) or (c).

87. Section 9 of the Sale of Goods Act, 1931, provides for

(a) agreement to sell at a valuation

(b) ascertainment of price

(d) both (a) and (b).

88. Where no price is fixed in a contract of sale of goods, under section 9 of the Sale of Goods Act, 1930

(a) the buyer shall pay the maximum price

(b) the buyer shall pay the lowest price

(d) the buyer shall pay the price as demanded by the seller.

89. If a contract for sale of goods is for sale of two or more things under an entire contract, the perishing of some of them would

(a) avoid the whole contract

(b) not avoid the contract at all

(d) either (b) or (c).

90. The prima facie evidence of a reasonable price within the meaning of section 9 of the Sale of Goods Act, 1930 is

(a) the current price

(b) the market price

(d) the average of the highest and the lowest price in a period of one year.

91. Under section 9 of the Sale of Goods Act, 1930, what is a reasonable price is

(a) a question of fact

(b) a question of law

(d) only (c) and not (a) or (b).

92. Section 9 of the Sale of Goods Act, 1930 provides for fixing the price of goods

(a) by the contract itself

(b) in the manner agreed upon by the parties

(d) either (a) or (b) or (c).

93. Section 10 of the Sale of Goods Act, 1930 provides for fixation of price of goods

(a) by the valuation of a third party

(b) by the arbitrator

(d) by the Judge.

94. The duty of fixing value for the goods, under section 10 of the Sale of Goods Act, 1930

(a) can be delegated by the valuer

(b) can be delegated by the valuer with the consent of the buyer

(d) can be delegated by the valuer with the leave of the court.

95. Where the price of the goods under a contract of sale has to be determined by the valuation of a third party, and the valuer fails or refuses to make the valuation, the contract under section 10 of the Sale of Goods Act, 1930, shall

(a) become void

(b) be voidable

(d) become impossible.

96. Where the price of the goods under a contract of sale is to be fixed by the valuation of a third party who fails to fix the valuation, but goods are supplied to the buyer, under section 10 of the Sale of Goods Act, 1930 the buyer is

(a) liable to pay the reasonable price of the goods

(b) liable to pay the minimum price of the goods

(d) liable to pay the maximum retail price.

97. Where a third party is prevented from making the valuation of goods, as price to be paid by the buyer to the seller, by a party to the agreement, under section 10 of the Sale of Goods Act, 1930, the other party has a right to

(a) sue for specific performance

(b) sue for damages

(d) either (a) or (b).

98. Under section 10 of the Sale of Goods Act, 1930 in cases where under an agreement two valuers, one appointed by each party, have to function, in such cases, the valuation by one alone is

(a) sufficient

(b) futile

(d) either (b) or (c).

99. Section 11 of the Sale of Goods Act, 1930 provides for

(a) stipulation as to time in a contract of sale

(b) conditions

(d) all the above.