MCQ on Law of Equity

Additional Multiple Choice Questions on Indian Law of Equity

Question 21

The doctrine of constructive trust in equity is based on:
a) Prevention of unjust enrichment
b) Strict compliance with legal provisions
c) Adherence to statutory law
d) Contractual obligation

Question 22

The maxim “Equity will not suffer a wrong to be without a remedy” means:
a) Every legal wrong has a remedy in equity
b) Equity compensates for all losses
c) Equity provides remedies even for illegal acts
d) Equity does not provide remedies for non-legal wrongs

Question 23

Equity recognizes which type of rights?
a) Legal rights only
b) Equitable rights only
c) Both legal and equitable rights
d) Customary rights only

Question 24

Which of the following is NOT an equitable remedy?
a) Specific performance
b) Rescission
c) Restitution
d) Punitive damages

Question 25

The concept of “equitable ownership” refers to:
a) Legal title of a property
b) Ownership recognized by equity, not law
c) Shared ownership of a property
d) Statutory transfer of property

Question 26

Which maxim of equity governs the rule of fiduciary relationships?
a) He who seeks equity must do equity
b) Equity delights in equality
c) Equity will not permit a statute to be used as a cloak for fraud
d) No one can take advantage of their own wrong

Question 27

The concept of equitable estoppel is similar to which doctrine in common law?
a) Doctrine of Ultra Vires
b) Doctrine of Promissory Estoppel
c) Doctrine of Res Judicata
d) Doctrine of Election

Question 28

Equity recognizes trusts under which principle?
a) Legal obligations of ownership
b) Division of legal and equitable ownership
c) Statutory transfer of property
d) Proprietary claims over moveable assets

Question 29

The remedy of rescission is typically granted in cases of:
a) Breach of contract
b) Fraud, mistake, or misrepresentation
c) Non-payment of consideration
d) Non-fulfillment of statutory requirements

Question 30

Which of the following statements about equity is true?
a) Equity creates new laws to override statutes
b) Equity is rigid and adheres strictly to precedents
c) Equity acts as a supplement to common law
d) Equity always operates independently of the law

Question 31

In the Indian legal system, equity is incorporated through:
a) Statutory provisions
b) Common law only
c) Customary law only
d) Religious laws

Question 32

The equitable principle of “unjust enrichment” is applied to prevent:
a) Breach of statutory law
b) Financial losses due to negligence
c) One party benefiting unfairly at another’s expense
d) Contracts from being legally enforceable

Question 33

Which section of the Specific Relief Act, 1963, is based on the principle of equity?
a) Section 10 – Specific Performance
b) Section 13 – Damages for breach
c) Section 17 – Contract termination
d) Section 20 – Discharge of obligations

Question 34

An equitable charge on property is created by:
a) A formal agreement only
b) Deposit of title deeds and conduct of parties
c) Written contract with legal provisions
d) Transfer of possession

Question 35

What is the role of equity in family law cases?
a) Penalizing spouses for misconduct
b) Enforcing strict rules of ownership
c) Ensuring fairness in property division and custody
d) Applying rigid rules for inheritance

Question 36

The equitable remedy of rectification is used to:
a) Cancel a contract
b) Correct mistakes in a written document
c) Prevent a breach of contract
d) Transfer ownership of property

Question 37

The doctrine of “election” in equity applies when:
a) A party has multiple legal remedies
b) A party must choose between inconsistent rights or claims
c) A dispute involves more than one contract
d) A party delays initiating legal proceedings

Question 38

Which of the following maxims ensures equality in equity?
a) Equality is equity
b) Equity follows the law
c) Equity delights in diversity
d) Delay defeats equity

Question 39

In equity, fiduciary relationships require:
a) Strict adherence to statutory law
b) Good faith and trust between parties
c) Enforcement of criminal penalties
d) Complete independence of parties

Question 40

Which equitable doctrine provides relief for informal agreements partly performed?
a) Doctrine of Ultra Vires
b) Doctrine of Part Performance
c) Doctrine of Laches
d) Doctrine of Estoppel