| Direction: The following questions consist of two statements, one labelled as the assertion (A) and the other as Reason (R). You are required to examine these two statements carefully and select the answers to these items using the codes given below. |
| Assertion (A) A breach of contract gives rise to a right of the injured party to recover the damages. |
| Reason (R) The purpose of payment of damages is to restore the position of both the parties in the same status, in which they would have been had they not entered into the contract. |
A) Both A and R are true and R is the correct explanation of A
B) Both A and R are true, but R is not the correct explanation of A
C) A is true but R is false
D) A is false but R is true
Correct Answer: C
Solution :
Chapter VI Section 73 to 75 of Contract Art belongs to consequences of breach of contract.
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