DPC Question Bank
DPC Question Bank
DPC Question Bank
2. What are the four principal rules of pleadings? What are the other rules?
• Principal Rules:
1. Plead material facts, not evidence.
2. Avoid ambiguous or vague language.
3. Every pleading must state facts concisely and clearly.
4. Law should not be pleaded.
• Other Rules:
1. Pleadings must disclose a cause of action.
2. Pleadings must avoid irrelevant or unnecessary details.
3. Alternative and inconsistent pleadings are allowed under Order 6, Rule 7, CPC.
3. What are the exceptions to the rule that “law should not be pleaded”?
• Certain statutory provisions or rules of law (like limitation or jurisdiction) may
need to be pleaded when relevant.
• Legal custom or usage that has the force of law can also be pleaded.
8. How do you write the case number? Where do you write it?
• Format: Case Type / Year (e.g., OS 123/2024).
• It is written in the cause title, below the name of the court.
9. What is ‘forum’? What are its parts? How do you write it? Where do you
write it?
The forum refers to the court where the case is filed.
Parts:
1. Name of the court.
2. Jurisdiction (if applicable).
It is written at the top of the cause title.
10. Which are the civil courts in Karnataka? What is their hierarchy?
Hierarchy (from lowest to highest):
1. Small Causes Courts.
2. Civil Judge (Junior Division).
3. Civil Judge (Senior Division).
4. District and Sessions Courts.
5. Karnataka High Court.
14. Who are ‘parties’? How many parties are there to any proceeding?
• Parties are individuals or entities involved in a legal proceeding.
• Generally, there are at least two parties: the plaintiff (initiator) and the
defendant (responder).
15. What are the types of parties? What is the effect of non-joinder of a
necessary party?
• Types:
1. Necessary parties.
2. Proper parties.
• Effect of non-joinder: If a necessary party is not joined, the suit may be
dismissed for being defective.
30. What is the period of limitation to file a suit for recovery of debt?
The limitation period for recovery of debt is 3 years from the date the debt becomes due
or the date of acknowledgment of the debt (if applicable).
32. What happens to limitation if the plaintiff is a minor when the cause of
action arises?
Under Section 6 of the Limitation Act, 1963, the limitation period begins only when the
minor attains the age of majority.
Return the plaint under Order 7, Rule 10, CPC, for presentation to the proper court.
Dismiss the suit if no competent court exists.
48. Can a suit valued at ₹4 Lakhs be heard by Senior Civil Court or District
Court?
No, a suit valued at ₹4 Lakhs must be heard by a Civil Judge (Junior Division) as it falls
within their pecuniary jurisdiction.
49. In such a suit, can the jurisdiction of the court be challenged? On what
ground?
Yes, jurisdiction can be challenged on the ground of pecuniary jurisdiction being
improperly exercised.
50. What will be the validity of the decree passed by the District Court in
such a suit?
A decree passed by the District Court in a suit beyond its jurisdiction is invalid and void
and can be set aside.
51. What is territorial jurisdiction? What is the alternative term for it?
• Territorial jurisdiction refers to the geographic area within which a court has the
authority to hear and decide a case.
• Alternative term: Local jurisdiction.
56. Who may decide in which of the courts having concurrent jurisdiction, a
suit should be filed?
The plaintiff decides in which court to file the suit when multiple courts have
concurrent jurisdiction.
57. What is ‘court fee’? What is the basis for computing court fee?
Court fee is the fee payable to the court for filing a suit, appeal, or application.
The basis for computing court fee depends on:
• The value of the relief sought.
• The nature of the suit (fixed or ad valorem fee).
58. If proper court fee is not paid on the plaint, what happens?
• If proper court fee is not paid, the court may:
• Reject the plaint under Order 7, Rule 11, CPC.
• Permit the plaintiff to rectify the defect within a specified time.
59. What should a plaintiff not having sufficient means to pay court fee do?
The plaintiff can file the suit as an indigent person under Order 33, CPC, by submitting
an application to be exempted from paying the court fee.
60. What should a plaintiff not having sufficient money to pay court fee do?
The plaintiff must follow the same process as above, filing as an indigent person under
Order 33, CPC.
63. Can two separate suits for principal and interest be instituted?
No, under Order II, Rule 2, CPC, principal and interest must be claimed together in the
same suit.
67. What are the differences between res judicata and res subjudice?
• Res judicata applies to decided cases, whereas res subjudice applies to
pending cases.
• Res judicata bars re-litigation, while res subjudice prevents parallel litigation.
80. What are the two types of applications? How do they differ?
• The two types of applications are:
1. Interlocutory Applications (IA): Filed during the pendency of the suit to seek
interim relief.
2. Substantial Applications: Filed independently to initiate substantive
proceedings (e.g., execution petition, caveat).
• Difference: IAs are ancillary to the main case, whereas substantial applications
are independent.
83. What are the two parts of an IA? Who signs them?
The two parts of an IA are:
1. Form of the application (signed by the advocate).
2. Affidavit in support of the application (signed and sworn by the applicant).
101. What is an ‘appeal’? When does that right accrue? What kind of right
is it?
• Appeal: A legal process by which a party requests a higher court to review the
decision of a lower court.
• Right accrues: The right to appeal accrues only when the law explicitly provides
for it (e.g., against a decree or order specified as appealable under the CPC).
• Kind of right: It is a statutory right, not an inherent right, and must be granted by
the relevant statute.
116. What are the main differences between a first appeal and second
appeal?
• First Appeal:
a. Filed against facts and law.
b. Governed by Section 96, CPC.
• Second Appeal:
a. Filed only on substantial questions of law.
b. Governed by Section 100, CPC.
118. What are the case numbers given to different types of appeals?
• First Appeal: Regular Appeal (RA) No.
• Second Appeal: Second Appeal (SA) No.
• Miscellaneous Appeal: Miscellaneous Appeal (MA) No.
•
132. What is ‘letter of administration’? Who may apply for it? Who grants
it?
• Letter of Administration: A document issued by a court granting a person the
authority to administer the estate of a deceased person.
• Who may apply: Legal heirs or other interested persons in case of intestate
succession or absence of an executor.
• Who grants it: The competent civil court.
134. What is the procedure where an executor dies, refuses to act, etc.?
In such cases, the court appoints an administrator to act in place of the executor under
the provisions of the Indian Succession Act, 1925.
137. Who is a guardian? Who are the persons for whom there may be
guardians?
• Guardian: A person legally appointed to manage the affairs of a minor or a
person of unsound mind.
• Persons:
1. Minors.
2. Persons of unsound mind.
3.
150. What are the different types of complaints under criminal law?
Explain.
1. Private complaint: Filed by an individual for offenses not cognizable by the
police.
2. Police report (FIR): Filed by the police after investigation of a cognizable
offense.
3. Complaint by public servant: Filed by authorized government officials for
specific offenses.
• Yes, the limitation period for making a criminal complaint is provided under
Section 468 of CrPC, which depends on the punishment prescribed for the
offence:
o Up to 1 year imprisonment: 6 months.
o Up to 3 years imprisonment: 1 year.
o Above 3 years: No limitation.
153. Who are the parties to a complaint?
• The complaint should be lodged with the police station having jurisdiction over
the place of occurrence or directly before the Magistrate under Section 190
CrPC. Since murder is a cognizable offence, the case will be tried in the
Sessions Court.
• Section 138 NI Act deals with the dishonor of cheques due to insufficiency of
funds or exceeding the arrangement. It is applicable when:
o A cheque is presented and dishonored.
o A demand notice is sent, and payment is not made within 15 days.
160. What is the procedure for making a complaint under Sec. 138 NI Act?
• Key provisions:
o Section 436: Bailable offences.
o Section 437: Non-bailable offences.
o Section 438: Anticipatory bail.
o Section 439: Special powers of Sessions and High Court.
• Regular bail is the release of an accused on bail after arrest, granted by a court
under Section 437 or 439 CrPC.
164. What is the difference between bailable and non-bailable offences?
• Bailable offences: The accused has a right to bail. (e.g., minor offences like
theft).
• Non-bailable offences: Bail is discretionary and depends on the court. (e.g.,
serious offences like murder).
• Anticipatory bail is a pre-arrest bail granted under Section 438 CrPC to prevent
arrest in cases where a person apprehends being falsely implicated.
166. Can a JMFC grant anticipatory bail? Which court can grant it?
• No, a JMFC cannot grant anticipatory bail. Only the Sessions Court or High
Court can grant anticipatory bail under Section 438 CrPC.
167. Which are the courts having jurisdiction in the matter of bail?
168. Can a bail application be made to Sessions Court or High Court directly?
169. How does the cause title differ in bail applications before JMFC and HC?
• Yes, under Section 436 CrPC, a police officer can release an accused on bail in
bailable offences.
171. Can successive applications for bail be made in the same case?
172. Can a bail application be made to JMFC after it is rejected by HC? Explain.
• No, once the High Court rejects the bail application, a lower court (JMFC)
cannot entertain the same application as it is bound by the decision of the higher
court.
• Maintenance under Section 125 CrPC is a criminal matter, but claims under
personal laws can be civil matters.
• Maintenance petitions under Section 125 CrPC are typically numbered as Crl.
Misc. Petition (Criminal Miscellaneous Petition).
177. What is the maximum amount of maintenance awardable under Sec. 125,
CrPC?
• There is no upper limit specified in Section 125 CrPC for the maintenance
amount. It is determined by the court based on the income and financial
condition of the respondent and the needs of the claimant.
• The following individuals can claim maintenance under Sec. 125 CrPC:
o Wife (including divorced wife if she has not remarried).
o Minor children (legitimate or illegitimate).
o Parents (if unable to maintain themselves).
179. Can a Muslim woman claim maintenance under Sec. 125, CrPC?
• Yes, a Muslim woman can claim maintenance under Sec. 125 CrPC. However,
after the enactment of the Muslim Women (Protection of Rights on Divorce)
Act, 1986, the provisions of this Act primarily apply to divorced Muslim women.
180. Can a husband claim maintenance from his wife under Sec. 125, CrPC?
• No, a husband cannot claim maintenance under Sec. 125 CrPC. However, under
certain personal laws, a husband may seek maintenance if he is incapacitated
or unable to earn.
181. Can a parent claim maintenance from a daughter under Sec. 125, CrPC?
• Yes, a parent can claim maintenance from a daughter under Sec. 125 CrPC if the
parent is unable to maintain themselves and the daughter has sufficient means.
182. Court of which place has jurisdiction to grant maintenance to wife u/s 125?
183. Can maintenance be claimed under CrPC and personal law both
simultaneously?
• Yes, maintenance can be claimed under both CrPC and personal laws
simultaneously. However, the courts ensure that there is no duplication or
overlapping of maintenance amounts.
• A regular second appeal is an appeal against the judgment of the first appellate
court. It lies to the High Court under Section 100 of the CPC, and it must
involve a substantial question of law.
• No, a regular second appeal under Section 100 CPC can only lie on substantial
questions of law, not on questions of fact.
• Civil revision petitions are usually numbered as CRP (Civil Revision Petition).
• No, revision does not lie against a decree unless it involves a jurisdictional
error. In such cases, an appeal is the appropriate remedy.
• State includes the government (central and state), parliament, legislature, local
authorities, and other authorities under Article 12 of the Indian Constitution.
194. Can a High Court issue a writ to the central government?
• Yes, a High Court can issue a writ to the central government if the matter falls
within its territorial jurisdiction.
195. What are the provisions under which writs may be issued?
• Article 32: Supreme Court issues writs for enforcement of fundamental rights.
• Article 226: High Courts issue writs for fundamental rights and other purposes.
• Article 32:
o Can be invoked only for enforcement of fundamental rights.
o Filed in the Supreme Court.
• Article 226:
o Can be invoked for enforcement of fundamental rights and other legal
rights.
o Filed in the High Court.
197. What is the difference between jurisdictions under Art. 32 and Art. 226?
198. Under what grounds can a writ petition be rejected by the Supreme Court?
199. Under what grounds can a writ petition be rejected by a High Court?
• There is no specific limitation period for filing a writ petition. However, courts
generally require petitions to be filed within a reasonable time, typically 3-6
months from the cause of action.
• Delay refers to the failure to act within a reasonable time after the cause of
action arises.
• Laches is the legal principle that bars a claim due to unreasonable delay, which
causes prejudice to the other party.
202. HC has rejected a petition for a writ. Can a fresh petition be made to SC?
• Yes, a fresh petition can be made to the Supreme Court under Article 32 of the
Constitution for the enforcement of fundamental rights.
• Yes, a writ can be issued suo motu by the court in exceptional cases where the
violation of fundamental rights or public interest is apparent.
• Habeas Corpus means "produce the body." It is a writ issued to ensure that a
person detained unlawfully is brought before the court to determine the legality
of their detention.
•
o It can be filed by any person on behalf of the detainee.
2. It is given priority and must be decided expeditiously.
3. It applies to both public and private detention.
209. Can a petition be made to SC after HC rejects a petition for habeas corpus?
• Yes, a petition can be made to the Supreme Court under Article 32 after the High
Court rejects a habeas corpus petition.
214. What is ‘writ of prohibition’? What is a ‘writ of certiorari’? How do they differ?
• Grounds include:
o Lack of jurisdiction.
o Violation of natural justice.
o Error of law apparent on the face of the record.
• No, a writ of certiorari cannot quash an Act. However, the Act’s constitutionality
can be challenged through a writ petition.
• Yes, a High Court can quash a law made by Parliament if it violates the
Constitution under its jurisdiction under Article 226.
218. What is a ‘writ of quo warranto’?
219. What are the requirements for issuing a writ of quo warranto?
• Requirements:
o The office must be public.
o The person must unlawfully hold the office.
o The petitioner must prove the lack of legal authority of the officeholder.
• Locus standi refers to the legal right of a person to file a case or petition.
• The rule is that only a person affected by a legal wrong or violation of a right can
approach the court.
• Exceptions include:
o Public Interest Litigation (PIL).
o Cases involving fundamental rights violations.
o Representation by a third party in cases of habeas corpus or public
interest.
224. What is a PIL? Who can file a PIL?
• Public Interest Litigation (PIL) is a legal action initiated in a court for the
protection of public interest.
• Any public-spirited individual or organization can file a PIL.
1. What is conveyancing?
• The Transfer of Property Act, 1882 and the Registration Act, 1908 provide
guidelines for forms of conveyancing in India.
• No, following precedents is not mandatory. However, they are followed because
they:
o Ensure legal accuracy and compliance.
o Provide clarity and uniformity.
o Reduce drafting errors.
9. What are the parts of a deed which come under the ‘non-operative’ portion?
• Recitals are statements in a deed that explain the background, purpose, and
facts leading to the creation of the document.
• The operative portion is called so because it contains the essential terms that
legally convey rights, duties, or ownership.
12. What does the ‘operative’ portion of a deed contain?
• The testatum clause is the part of the deed that attests or states the
consideration and agreement between the parties.
• The habendum clause specifies the interest or estate granted by the deed and
defines the rights of the grantee.
• Exceptions: Parts of the property that are excluded from the transfer.
• Reservations: Rights or privileges retained by the transferor.
16. What are ‘covenants’? What are the different types of covenants?
• The parcels or demise part describes the property being transferred, including
boundaries, dimensions, and location.
27. Is it necessary that the attesting witness should see the execution of the
document?
• Yes, the attesting witness must physically see the execution of the document or
the executor acknowledging their signature, as per Section 3 of the Transfer of
Property Act, 1882.
32. What are the subject-matter of registration under the Registration Act?
• Registration:
o Confers legal validity and enforceability.
o Provides public notice of the transaction.
o Protects against fraudulent claims.
• Ownership is the legal right to possess, use, transfer, and dispose of property,
subject to laws and restrictions.
38. What is ‘title’ to a property? What are title deeds? What is ‘flow of title’?
• Interest in property refers to a legal right or claim over it, either in full or as a
part-share (e.g., leasehold interest).
42. What is ‘corporeal’ property? What is the alternative term for ‘corporeal’
property?
43. What is ‘incorporeal’ property? What is the alternative term for it?
45. What is the difference between partial and complete transfers of property?
• Partial Transfer: Only part of the rights or interest is transferred (e.g., lease).
• Complete Transfer: All rights, title, and interest are transferred (e.g., sale).
46. What is ‘possession’? What is ‘custody’? What is the difference between them?
• Possession: Actual control or authority over property with an intention to own it.
• Custody: Mere holding of property without ownership rights.
• Difference: Possession involves ownership intent, custody does not.
47. What are the two types of possession?
• An agreement is defined under Section 2(e) of the Indian Contract Act, 1872, as
"every promise and every set of promises forming consideration for each other."
• Essentially, it is a promise coupled with consideration.
53. What is the difference between an ‘agreement’ and a ‘contract’?
• A third party is someone who is not directly a party to the contract but may be
affected by or involved in its performance.
• He is also referred to as a stranger to the contract.
• Privity of contract means that only the parties to a contract have rights or
obligations under it, and a third party cannot enforce it.
58. Can a stranger to a contract enforce it? What if he is a beneficiary under it?
• A lunatic can enter into a valid contract only during periods of lucid intervals,
when they are of sound mind.
• A minor's contract is void ab initio (void from the beginning) and cannot be
enforced by or against the minor.
64. What happens if a minor makes a contract holding himself out as major?
• The contract is still void, but the minor may be held liable for fraudulent
misrepresentation under tort law.
65. What is ‘quasi contract’?
• Necessaries: Essential items required for basic living or sustenance (e.g., food,
clothing).
• Necessities: Broader term encompassing anything essential for comfort,
status, or obligations, depending on the individual’s lifestyle.
• The object of a contract refers to the purpose or reason for which the contract is
entered into. It must be lawful and not opposed to public policy.
• When it:
o Is forbidden by law.
o Involves fraud or illegality.
o Causes harm to others.
o Is immoral or against public policy.
• Coercion: The act of compelling a person to enter into a contract under unlawful
threats or force (Section 15 of the Indian Contract Act).
• Threat of self-immolation is considered coercion, as it creates unlawful
pressure on the other party.
76. What is uberrimae fidae? What is undue influence?
1. Bilateral Mistake: Both parties are mistaken about a material fact (contract
becomes void).
2. Unilateral Mistake: Only one party is mistaken (contract remains valid unless
the other party was aware of the mistake).
83. What is the difference between a ‘void agreement’ and a ‘voidable contract’?
• Void Agreement: Has no legal effect from the beginning (e.g., agreements
without consideration).
• Voidable Contract: Valid until avoided by the aggrieved party due to coercion,
undue influence, etc.
• Quantum Meruit: Latin for "as much as earned." It allows a party to recover
compensation for services rendered or work done, in the absence of a fixed
contract or when the contract is partially performed.
1. Competent transferor.
2. Transferable property.
3. Lawful object and consideration.
4. Compliance with the mode of transfer prescribed by law.
89. What is the meaning of ‘lis pendens’? What is the rule of ‘lis pendens’?
• A bona fide purchaser for value is a person who purchases property in good
faith, for consideration, and without notice of any defect in the title.
• No, a minor cannot purchase property as they are not competent to contract.
However, a guardian can purchase property on their behalf.
• The Indian Contract Act, 1872, and for immovable property, the Transfer of
Property Act, 1882.
• Sale is the transfer of ownership of property from the seller to the buyer for a
price paid or agreed to be paid.
• The Transfer of Property Act, 1882, and for movable goods, the Sale of Goods
Act, 1930.
100. What is the main difference between agreement of sale and sale?
101. What are the other differences between agreement of sale and sale?
• A sale is made by executing a sale deed (in writing) and delivering possession of
the property, along with the payment of the price. For immovable property,
registration of the sale deed is required under the Registration Act, 1908.
104. What happens if the purchaser does not sign the sale deed?
• A sale deed is valid if it is signed by the seller and executed in the presence of
witnesses. However, it is advisable for the purchaser to sign it to acknowledge
acceptance. Without the purchaser’s signature, disputes may arise regarding
the buyer's consent.
• Attestation is not mandatory for a sale deed, but it is required for documents
like gift deeds or wills.
107. What is the nature of transfer of a house for Rs. 5 lakhs and a land?
• Yes, a minor can be a donee. However, the gift must be accepted on the minor's
behalf by a guardian.
111. What happens if the donee does not sign the gift deed?
• A gift deed is valid if signed by the donor and attested by witnesses. Acceptance
by the donee is necessary, but the donee's signature is not mandatory.
• Yes, under the Registration Act, 1908, registration of a gift deed involving
immovable property is mandatory.
• Under Muslim law, oral gifts are valid, and registration is not mandatory.
However, if a gift deed is executed, it must be registered under the Registration
Act, 1908.
118. Is there any way to have a record of oral gift without registration?
119. What is the difference between a gift deed and a memorandum of oral gift?
120. Why does a gift deed require registration while a memorandum of oral gift
does not?
• A gift deed effects the transfer of property and requires registration under the
law. A memorandum of oral gift only records an already completed oral gift,
which does not require registration.
121. In what tense should a gift deed be written?
• A gift deed should be written in the present tense, as it signifies the immediate
transfer of ownership.
• A lease is a transfer of the right to enjoy immovable property for a specific term,
in exchange for rent or other consideration (Section 105, Transfer of Property
Act, 1882).
•
o Parties: Lessor and lessee.
o Property: Subject of the lease.
o Period: Duration of the lease.
o Payment: Rent or consideration.
o Purpose: Reason for leasing.
• A lease is a partial transfer of the property, where the lessor grants the lessee a
limited right to enjoy the property, while retaining ownership.
• Yes, a minor can be a lessee. However, the lease agreement may be voidable at
the minor's option, as minors cannot legally enter into binding contracts except
for essential items or benefits.
• The consideration for a lease is typically the rent or other monetary or non-
monetary compensation paid by the lessee to the lessor for the right to use the
property.
• The property transferred by the lessor is the right to enjoy or use the property for
the lease term, subject to the conditions set in the lease agreement.
132. What is the property left with the lessor after the lease?
• The property left with the lessor is the ownership of the property, which
remains unchanged during the lease. The lessor retains the title and the right to
recover possession at the end of the lease term.
133. What kind of property is leasehold rights?
• Leasehold rights refer to the right to occupy and use the leased property for a
specific term, without transferring ownership. These rights are personal and can
be transferred under certain conditions.
• The lessee holds the leasehold rights during the lease term. The lessor remains
the owner of the property.
• The lessee generally cannot alienate (transfer) leasehold rights without the
consent of the lessor, unless expressly permitted under the lease agreement.
136. What is the effect of sale or gift of leasehold rights by the lessee?
• If the lessee sells or gifts the leasehold rights without the lessor's consent, the
action may be considered void or voidable, depending on the terms of the lease.
• If the lessee exchanges their leasehold rights with someone else, it is generally
considered an unauthorized act, and the lessor may terminate the lease,
subject to the agreement’s terms.
139. What is such lease called? What is the lessee of the lessee called?
• A lease of leasehold rights is often called a sublease. The lessee of the lessee is
called a sub-lessee.
140. Can alienation of leasehold rights by lessee be prohibited? How?
• Yes, the alienation of leasehold rights by the lessee can be prohibited if the lease
agreement expressly restricts subletting or transferring the lease.
141. Can lessor sell the property during the subsistence of lease?
• Yes, the lessor can sell the property during the subsistence of the lease.
However, the sale is subject to the terms of the existing lease, and the buyer
takes the property subject to the leasehold rights.
142. What is the effect of sale of property by the lessor during the subsistence of
lease?
• The sale of the property does not terminate the lease. The new owner
(purchaser) becomes the lessor and is bound by the terms of the lease.
143. Can the lessor terminate lease before the efflux of time? How?
• Yes, the lessor can terminate the lease before the efflux of time if there is a
breach of lease terms by the lessee (e.g., non-payment of rent or misuse of the
property). Termination would depend on the lease agreement provisions.
144. Can the lessee terminate lease before the efflux of time?
• Yes, the lessee can terminate the lease before the end of the lease term, subject
to the terms in the lease agreement, typically requiring prior notice.
• If the lessor dies, the lease continues to be valid, and the property is passed to
the lessor’s heirs. If the lessee dies, the lease may pass to their legal heirs,
depending on the lease agreement.
148. What happens if the tenant continues in possession after the termination of
lease?
• If the tenant continues in possession after the lease terminates, they are
considered a tenant holding over and may be liable to pay rent or damages. The
landlord may take legal action to recover possession.
• Lease grants the lessee exclusive possession of the property for a specified
period, whereas a licence grants permission to enter or use the property
without transferring possession, and the licensor retains control over the
property.
• The lessor’s position is generally better as a lease gives the lessee exclusive
possession of the property. In contrast, the licensor retains control over the
property in a licence agreement.
• The lessee’s position is generally better, as they have exclusive possession and
a legal right to use the property, which is protected for the duration of the lease.
A licensee only has permission to use the property without exclusive
possession.
• The consideration for mortgage is the loan or debt that the mortgagor receives
from the mortgagee in exchange for providing security over the property.
159. What is a ‘debt’? What is a ‘loan’? What is the difference between debt and
loan?
160. How many types of mortgage are there? Which are they?
164. Can the same property be mortgaged successively with several mortgagees?
• The phrase ‘redeem up, foreclose down’ refers to the mortgagor’s right to
redeem (buy back) the mortgaged property at any time before the foreclosure,
meaning they can regain ownership if they repay the loan.
• A simple mortgage is one where the mortgagor does not transfer possession
of the mortgaged property to the mortgagee but agrees to pay the debt. If the
mortgagor fails to repay, the mortgagee can sell the property to recover the loan.
• The mortgagee has the right to sell the mortgaged property if the mortgagor
defaults on repayment. This right is exercised in accordance with the terms of
the mortgage deed.
174. How is a debt secured by simple mortgage better than an unsecured debt?
• A sale with condition of resale is a sale where the seller transfers ownership of
the property to the buyer, but the seller retains the right to repurchase the
property upon the fulfillment of certain conditions (typically within a specific
time frame).
177. How does mortgage by conditional sale differ from sale with condition of
resale?
• If the mortgagor does not repay the loan on time in a mortgage by conditional
sale, the sale becomes absolute, and the mortgagee can keep the property
without the possibility of redemption by the mortgagor.
• The phrase ‘once a mortgage, always a mortgage’ refers to the principle that a
transaction initially made as a mortgage cannot be transformed into a sale or
other type of transaction unless expressly agreed upon. Even if the mortgagor
conveys property to the mortgagee, it remains a mortgage as long as the terms of
the debt remain in place.
184. What is ‘usufructuary mortgage’? Who is liable to repay the debt in that case?
• In a usufructuary mortgage, the mortgagor is liable to repay the loan, but the
mortgagee recovers the debt from the income or profits generated from the
property.
188. What is ‘English mortgage’? How does it differ from ‘simple mortgage’?
• The mortgagor in an English mortgage is primarily liable to repay the loan by the
agreed-upon time, failing which the mortgagee has the right to sell the property
and recover the debt.
• An equitable mortgage is created when the mortgagor deposits the title deed of
the property with the mortgagee as security for the loan without executing a
formal mortgage deed.
• In an equitable mortgage, the mortgagee has possession of the title deed, but
the mortgagor retains physical possession of the property.
• The mortgagor in an equitable mortgage is liable to repay the loan, and if they
default, the mortgagee can take legal action to recover the debt, using the
property as collateral.
• The effect of charge is that the charged property is subject to the lender’s claim
in case of default, but the charger retains possession and control.
• A floating charge is a charge that applies to all current and future assets of a
company, allowing the company to use or dispose of the assets in the normal
course of business. It becomes a fixed charge when certain events, such as
default or liquidation, occur, freezing the company’s ability to deal with the
charged assets.
• The parties to a pledge are the pledgor (the person who provides the goods as
security) and the pledgee (the person who holds the goods as security for a loan
or obligation).
• The parties to a bailment are the bailor (the person who delivers the goods) and
the bailee (the person who receives the goods).
204. What is ‘partition of properties’?
• Joint tenancy is a form of co-ownership where two or more people hold property
with equal rights and obligations. The key feature is the right of survivorship,
meaning if one co-owner dies, their share automatically passes to the surviving
co-owners.
211. What are the different types of partnerships in India? How do they differ?
These types differ mainly in the extent of liability and the scope of the business
operations.
• If a partnership deed is not registered, the firm loses certain legal rights, such
as the ability to sue third parties in court. However, the partnership still exists as
a valid legal entity.
• Power of Attorney (PoA) is a legal document that grants one person (the agent)
the authority to act on behalf of another person (the principal) in specified
matters.
• The parties to an agency are the principal (the person granting authority) and
the agent (the person acting on behalf of the principal).
• Ratification refers to the process where the principal approves and accepts the
actions of the agent that were taken without prior authorization, thus making the
agent's actions legally binding.
221. When is agent personally liable under a contract made by him for his
principal?
• Ultra vires refers to actions or decisions that are beyond the legal power or
authority of a person or entity. In the context of agency, an agent’s actions that
fall outside the authority granted by the principal are considered ultra vires.
• The scope of agency refers to the limits of an agent's authority, which may be
outlined explicitly in the agency agreement or implied by law, and defines the
extent to which an agent can act on behalf of the principal.
• An affidavit is a written statement made under oath, affirming the truth of the
information contained within the document. It is typically used in legal
proceedings or as evidence in court.
• An affidavit may be sworn by anyone who has knowledge of the facts contained
within the affidavit, is competent to provide that information, and is willing to
affirm the truth of the statements made under oath.
• An affidavit is treated as oral evidence when it is read out loud in court and is
subject to cross-examination, much like a witness's testimony.
• Adoption is the legal process by which a person or couple takes on the legal
rights and responsibilities of parenting a child, typically in a situation where the
child’s biological parents are not involved.
• Generally, any minor child (under the age of 18) who is not married can be
adopted. Special provisions apply to children who are orphaned, abandoned, or
surrendered.
• The biological parents or legal guardians may give a child in adoption, provided
they consent to the adoption process, and there is no legal prohibition against it.
249. When can a child not be acknowledged as the legitimate child of the
acknowledger?
• A child may not be acknowledged as the legitimate child of the acknowledger if:
o The acknowledgment is made after the death of the biological mother.
o The acknowledgment is made under fraudulent circumstances.
o The child has already been legally recognized by another individual as
their parent.
• Adoption involves a formal legal process where the adopted child becomes the
legal child of the adoptive parents, with all the rights of a biological child.
Acknowledgment of paternity involves a formal recognition of a child by the
father, but the child does not change their legal status in relation to other
parties.