List of top Questions asked in AILET BALLB (Hons.)

Apply the given legal principles to the facts provided in the following of the question and select the most appropriate answer.
Principle : Fraud includes the suggestion, as a fact, of that which is not true, by one who does not believe it to be true or the active concealment of a fact by one having knowledge or belief of the fact, with intent to deceive another party or her agent to enter into the contract.
Facts : Wind-on Ltd. is a leading manufacturer of wind turbines to harness wind energy to produce electricity. It is based out of Nagaland in India and has been manufacturing wind turbines since the early 1990s with national and international fame. Z Infrastructures Ltd. is a leading infrastructure firm with a proven track record in building energy installations and highways across India. Z Infrastructures wanted to expand its portfolio and operate a wind energy park to supply clean electricity. Representatives from Wind-on and Z Infrastructures carried out extensive negotiations, advised by leading law firms and commercial advisory firms on both sides, for the latter to establish a wind park in Odisha. Z Infrastructure wanted Wind-on to guarantee that the turbines will generate 54 lakhs Kwh of energy per turbine annually. Wind-on’s stated position was that generation of energy is dependent on availability of wind and they could not guarantee it. However, they provided an “estimate” in the contract for supply of turbines that the turbines will be able to generate around 50 lakhs Kwh per turbine annually. The turbines were supplied by Wind-on and operated by Z Infrastructure in Odisha for over 2 years. During this period, Z Infrastructure found that the average energy generation of each turbine came to around 35 lakhs Kwh annually. They were frustrated as the actual generation of each turbine was significantly lower than the generation estimate provided by Wind-on. They reached out to Lal & Co., a leading dispute resolution law firm to understand if they could initiate action against Wind-on for fraudulently representing the generation estimate of each turbine.
You are a lawyer at Lal & Co., and were asked if Wind-on had committed fraud by providing an inflated energy generation estimate
Apply the given legal principles to the facts provided in the following of the question and select the most appropriate answer.
Principle 1 : A misrepresentation arises when a person makes a false statement of fact to another which induces the other party to enter into a contract, resulting in loss to that other party.
Principle 2 : When consent to an agreement is caused by misrepresentation, the agreement is a contract voidable at the option of the party whose consent was so caused.
Facts : It was Kritika’s mother’s 50th birthday on 9th February 2021. Kritika decided to organise a lavish celebration to celebrate the event. Kritika’s mother used to play the piano before her marriage. However, after Kritika was born, she was unable to take out any time to pursue her interest in playing the instrument. Kritika learnt about this from her maternal grandmother a few days before her mother’s birthday. She decided to give her mother a piano on her 50th birthday.
She visited Himanshu’s piano store for this purpose. Himanshu showed Kritika all the pianos available at his store and explained the features of each model. Kritika had no prior knowledge of pianos and hence relied upon Himanshu’s opinion. She saw a vintage piano and was immediately drawn to it. Being a shrewd businessman, Himanshu saw an opportunity to sell the piano and said “They don’t make them like this anymore. It’s got a fine tone and it’s really cheap at ` 50,000”.
Kritika purchased the piano and gifted the same to her mother. However, when her mother started playing it, she immediately realized that the piano was of an inferior quality and that the tone was not proper. Kritika and her mother approached Himanshu and asked him to either replace the piano or refund the money. Himanshu refused to do either. What would be the strongest argument that Himanshu could make ?