Multiple Choice Questions on Indian Law of Equity
Question 1
The principle of equity is primarily derived from:
a) Roman Law
b) English Law
c) Hindu Law
d) Islamic Law
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Answer: b) English Law
Explanation: The concept of equity originated in English law. It developed as a separate body of rules to address the rigidity and inadequacies of common law, providing remedies based on principles of fairness and justice.
Question 2
Which of the following is a maxim of equity?
a) Ignorantia juris non excusat
b) Equity regards as done that which ought to be done
c) Caveat emptor
d) Actus non facit reum nisi mens sit rea
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Answer: b) Equity regards as done that which ought to be done
Explanation: This maxim is one of the fundamental principles of equity. It ensures that actions that a person is morally or legally bound to do are treated as if they have already been completed in equity.
Question 3
Equity will not assist a person who:
a) Comes to the court first
b) Acts in good faith
c) Comes with unclean hands
d) Follows the rules of natural justice
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Answer: c) Comes with unclean hands
Explanation: The maxim “He who comes to equity must come with clean hands” means that a person seeking equitable relief must not be guilty of misconduct related to the matter in question.
Question 4
Which of the following is an equitable remedy?
a) Imprisonment
b) Damages
c) Injunction
d) Compensation
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Answer: c) Injunction
Explanation: An injunction is an equitable remedy where the court orders a party to do or refrain from doing a specific act. It is granted when monetary damages are insufficient to rectify the harm.
Question 5
The principle “Delay defeats equity” is based on which maxim?
a) Equity follows the law
b) Equity looks to the intent rather than the form
c) Equity aids the vigilant, not the indolent
d) Equality is equity
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Answer: c) Equity aids the vigilant, not the indolent
Explanation: This maxim implies that equity favors those who are proactive in asserting their rights and does not support those who delay unreasonably in seeking remedies.
Question 6
Equity acts in:
a) Personam
b) Rem
c) Corpus
d) Animus
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Answer: a) Personam
Explanation: Equity acts in personam, meaning it enforces obligations against specific individuals rather than rights over property. This principle allows courts to compel personal compliance with equitable orders.
Question 7
Which of the following doctrines is a creation of equity?
a) Doctrine of Lis Pendens
b) Doctrine of Part Performance
c) Doctrine of Caveat Emptor
d) Doctrine of Res Judicata
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Answer: b) Doctrine of Part Performance
Explanation: The doctrine of part performance, under Section 53A of the Transfer of Property Act, 1882, is an equitable principle that protects parties who have partially performed their obligations under an agreement.
Question 8
The principle of equity is applied in which branch of Indian law?
a) Tax Law
b) Criminal Law
c) Family Law
d) Contract Law
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Answer: d) Contract Law
Explanation: Equity plays a significant role in contract law, especially in cases of specific performance, rescission, and injunctions, where remedies go beyond monetary compensation.
Question 9
In the administration of equity, precedence is given to:
a) Written law
b) Oral agreements
c) Substantive justice
d) Customary practices
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Answer: c) Substantive justice
Explanation: Equity emphasizes substantive justice over procedural technicalities, ensuring fairness and addressing gaps left by common law.
Question 10
Which legislation in India incorporates principles of equity?
a) Indian Penal Code, 1860
b) Transfer of Property Act, 1882
c) Arbitration and Conciliation Act, 1996
d) Indian Evidence Act, 1872
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Answer: b) Transfer of Property Act, 1882
Explanation: The Transfer of Property Act includes principles of equity, such as the doctrine of part performance, providing relief to individuals under certain equitable conditions.
Question 11
Equitable estoppel prevents a party from:
a) Breaching a contract
b) Making a false statement
c) Denying a fact previously asserted
d) Violating statutory law
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Answer: c) Denying a fact previously asserted
Explanation: Equitable estoppel ensures that a party cannot deny facts or promises they previously made when another party has relied on them to their detriment.
Question 12
The foundation of equity lies in:
a) Rigid rules of law
b) Morality and fairness
c) Judicial precedents
d) Statutory interpretation
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Answer: b) Morality and fairness
Explanation: Equity is built on principles of morality and fairness, aiming to provide just remedies in situations where strict application of the law would lead to injustice.
Question 13
What is the role of equity in Indian constitutional law?
a) Interpreting statutes narrowly
b) Ensuring justice in Fundamental Rights cases
c) Replacing statutory provisions
d) Avoiding procedural law
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Answer: b) Ensuring justice in Fundamental Rights cases
Explanation: Equity principles are often applied in interpreting and safeguarding Fundamental Rights, ensuring justice and fairness in constitutional cases.
Question 14
The maxim “Equity follows the law” implies:
a) Equity overrides legal statutes
b) Equity adheres to legal rules unless they cause injustice
c) Equity ignores common law
d) Equity creates new legal rights
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Answer: b) Equity adheres to legal rules unless they cause injustice
Explanation: This maxim ensures that equity does not conflict with established law but intervenes only to prevent unjust outcomes.
Question 15
Injunctions granted by equity are classified as:
a) Punitive and compensatory
b) Mandatory and prohibitory
c) Temporary and permanent
d) Oral and written
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Answer: b) Mandatory and prohibitory
Explanation: Equity grants mandatory injunctions, compelling a party to perform a specific act, and prohibitory injunctions, restraining a party from certain actions.
Question 16
The equitable remedy of specific performance is applicable when:
a) Monetary compensation is adequate
b) The contract involves personal services
c) The subject matter is unique
d) There is no breach of contract
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Answer: c) The subject matter is unique
Explanation: Specific performance is granted when the subject matter of the contract is unique, such as real estate or rare goods, and monetary compensation cannot adequately compensate the plaintiff.
Question 17
The Indian Trusts Act, 1882, is influenced by which branch of law?
a) Common Law
b) Equity
c) Criminal Law
d) Civil Procedure
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Answer: b) Equity
Explanation: The Indian Trusts Act incorporates principles of equity, focusing on fiduciary obligations, fairness, and trust management.
Question 18
“Equity looks to the intent rather than the form” means:
a) Form of the transaction is irrelevant
b) Legal documents are ignored
c) Intent of parties is prioritized over technicalities
d) Contracts are always verbal
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Answer: c) Intent of parties is prioritized over technicalities
Explanation: This maxim ensures that the courts prioritize the true intention of parties in a transaction rather than rigidly adhering to formalities.
Question 19
The equitable concept of “laches” refers to:
a) Delay in filing a lawsuit
b) Fraudulent behavior
c) Mistake of fact
d) Breach of contract
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Answer: a) Delay in filing a lawsuit
Explanation: Laches is an equitable doctrine that bars a claimant from seeking relief if they unreasonably delay taking action, causing prejudice to the other party.
Question 20
An equitable mortgage is created by:
a) Registering a deed
b) Depositing title deeds
c) Oral agreement
d) Payment of earnest money
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Answer: b) Depositing title deeds
Explanation: An equitable mortgage is created when the borrower deposits their title deeds with the lender as security for a loan, without requiring registration.
