ALLAMA IQBAL OPEN UNIVERSITY, ISLAMABAD

(Department of Commerce)
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WARNING
1. PLAGIARISM OR HIRING OF GHOST WRITER(S) FOR SOLVING THE
ASSIGNMENT(S) WILL DEBAR THE STUDENT FROM AWARD OF
DEGREE/CERTIFICATE, IF FOUND AT ANY STAGE.
2. SUBMITTING ASSIGNMENT(S) BORROWED OR STOLEN FROM
OTHER(S) AS ONE’S OWN WILL BE PENALIZED AS DEFINED IN
“AIOU PLAGIARISM POLICY”.
Course: Mercantile Law (460) Semester: Autumn, 2018
Level: BA/B.Com Units: 1–9

Note: You are required to solve all questions if you are unable to understand any
question of assignment, do seek help from your concerned tutor. But keep in
mind that tutors are not supposed to solve the assignment questions for you.

ASSIGNMENT No. 1
(Units: 1–4) Total Marks: 100
Pass Marks: 40

Q. 1 Keeping in view the Contract Act 1872, explain the following terms with one
example for each: (20)
i. Contract
ii. Express Contract
iii. Void Contract
iv. Illegal Contract
v. Quasi Contract

Q. 2 Every contract involves a mechanism of offer and acceptance in a business.

Explain in detail the legal provisions of offer and acceptance under the Contract
Act 1872. (20)

Q. 3 A contract in a business must be entered in a free and independent way without any
force or compulsion. Explain the concepts of free consent, coercion, fraud, mistake
and misrepresentation under the Contract Act 1872. (20)

Q. 4 What is meant by performance of contract? Who can demand performance of

contract? Explain in detail with examples the legal provisions regarding the
performance of contract. (20)
1
Q. 5 Explain in detail the following terms with one example for each under the Contract
Act 1872: (20)
i. Indemnity
ii. Guarantee
iii. Bailment
iv. Pledge
v. Surety

ASSIGNMENT No. 2
(Units: 5–9) Total Marks: 100
Pass Marks: 40

Q. 1 What are the benefits of registration of a partnership? Explain in detail the rights and
duties of partners in a partnership agreement under the Partnership Act 1932. (20)

Q. 2 A partnership is governed by an agreement called the partnership deed. Explain in

detail the contents of a partnership deed. (20)

Q. 3 Explain in detail the key points of following concepts under the Negotiable
Instruments Act 1881: (20)
i. Holder in Due Course and privileges available to him.
ii. Endorsement and its kinds.

Q. 4 Keeping in view the Sales of Goods Act 1903, define contract of sale of goods.
What are its essentials? Also differentiate between sale and agreement to sell. (20)

Q. 5 Explain in detail the various rights of the workers as per the Factories Act 1934 and
the Workmen Compensation Act 1923. (20)

AIOU-AS-267(18)PPU-27-7-2018-5000