Question:

Direction: Read the following scenario and answer the questions that follow.
Nimit has been associated with Superb Coaching Classes (SCC. as an independent trainer for the past ten years. He signs a yearly contract with SCC every year in April. According to the contract signed in April 2022, Nimit was being paid Rs. 1,50,000 per month as per the minimum guarantee of 100 hours per month @Rs. 1500 per hour. At the end of the year, Nimit was asked to pay Rs. 2,25,000 as SSC could not provide 100 classes per month to Nimit. Overall there was a deficit of 150 hours out of a total of 1200 hours in the years.
Given the above context, which of the following is the first thing Nimit should do?

Updated On: Jan 5, 2024
  • Refuse to pay the money under any circumstances.
  • Pay the whole amount as he did not work for those 150 hours.
  • Negotiate with the management to pay some part of Rs. 2,25,000
  • Check the contract for any clause w.r.t. deficit.
  • File a case against SSC for cheating.
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The Correct Option is D

Solution and Explanation

D is clearly the answer in this case as the first thing to be done is to check if anything regarding deficit is mentioned in the contract. A, B and C come into play once the contract is checked. E is too extreme as things are still not clear.

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