BBA/B.Com Business and Allied Law APRIL 2025

Description

Business & Allied Law

April 2025 Examination

 

 

1. A car manufacturing company, XYZ  Pvt. Ltd.,  entered into a contract  with a supplier,  Rubcotex  Enterprises,  for  the  delivery  of  synthetic  rubber  worth ₹20,00,000. The contract stipulated that Rubcotex must deliver the rubber within 45 days. However, the  supplier  failed  to  provide  the  rubber  on  time, causing production bottlenecks and significant losses to XYZ Pvt. Ltd. What are the legal implications of a breach of contract and remedies available to XYZ Pvt. Ltd., as per the Indian Contract Act, 1872?  (10 marks)

Ans 1.

Introduction

Contracts are the foundation of commercial transactions, ensuring the smooth functioning of businesses by defining rights, duties, and obligations. Under the Indian Contract Act, 1872, a contract is a legally enforceable agreement that binds parties to their commitments. In this scenario, XYZ Pvt. Ltd. and Rubcotex Enterprises entered into a contract for the supply of synthetic rubber worth ₹20,00,000, with a stipulated delivery period of 45 days. However, Rubcotex

 

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2. Ramkrishna Traders is a partnership firm formed by three partners — Tina, Amit, and Kamal. As per the partnership deed, each partner has contributed equal capital and receives an equal share in profits. After four years of operation, Amit decided to retire due to health issues. With the consent of Tina and Kamal, Amit wants to admit his 16-year-old son, Anish, to the partnership in his place. Discuss the legal implications of Amit’s retirement as per the Indian Partnership Act, 1932. Additionally, analyze whether Anish can be admitted as a partner and his legal position in the firm. (10 marks)

Ans 2.

Introduction

A partnership is a business structure where two or more individuals collaborate to run a business and share profits as per an agreement. The Indian Partnership Act, 1932 governs the rights, duties, and liabilities of partners. In the case of Ramkrishna Traders, a partnership firm with three equal partners—Tina, Amit, and Kamal—Amit has decided to retire due to health concerns. The

 

 

3. Ishaan purchased a premium smartwatch manufactured by ABCTech Pvt Ltd. for Rs 15,000 from TechShop.com, an e-commerce platform. The product came with a one-year warranty. However, within a month of usage, the smartwatch malfunctioned, causing Ishaan a minor electric shock when  wearing it. Ishaan immediately reported the issue to TechShop.com and requested a replacement. Since the 15-day return window had lapsed, TechShop refused to assist and asked Ishaan to contact the manufacturer. But, ABCTech also did not accept liability, arguing that Ishaan might have mishandled the smartwatch.
4. As Ishaan believes the product was defective, how can he hold the e-commerce platform and manufacturer liable under the Consumer Protection Act, 2019? (5 marks)

Ans 3a.

Introduction

The Consumer Protection Act, 2019 safeguards consumers from unfair trade practices, defective products, and deficient services. Under this Act, both e-commerce platforms and manufacturers can be held accountable for selling defective products that cause harm to consumers. In this case, Ishaan purchased a premium smartwatch from TechShop.com, but within a month, it

 

 

1. b) What defenses can TechShop.com and ABCTech Pvt. Ltd raise in this case? (5 marks)

Ans 3b.

Introduction

When faced with a consumer complaint, businesses have the right to defend themselves against unwarranted claims. In this case, TechShop.com and ABCTech Pvt. Ltd. may argue that they are not responsible for the defect or that Ishaan’s complaint is not justified under the Consumer Protection Act, 2019. By analyzing possible defenses, we can determine whether the manufacturer or e-