Q 01:Raheem makes a contract to sell a painting to Akbar for $1,000. In the contract, it was specified that if Raheem fails to perform the contract, he will pay $500 to Akbar as liquidated damages. Raheem fails to deliver the painting and was sued by Akbar for $500. Can he recover this amount? Explain?.

Q 02:Jamal rented a truck from a Truck Leasing Company. Jamal found that the brakes of the truck did not function properly resulting in injuring Jamal while he was driving the truck. Jamal sued the Truck Leasing Company for breach of the implied warranty that the truck was fit for normal use on public highways. The Truck Leasing Company contended that implied warranties apply only to sales, not to bailments for hire (Gratuitous). Decide about the mentioned scenario. Explain ?

Q3:Habib Broadcasting Company borrowed money from Afghanistan National Bank. The promissory note representing the loan was made payable "to the Afghanistan National Bank." This note also contained a provision authorizing confession of judgment against the borrower at any time. This provision allowed a judgment to be entered against Habib Broadcasting Company without giving the defendant the opportunity to make a defense or to oppose the entry of such judgment. The note was signed with the typewritten name of the borrowing corporation and the handwritten signature of three individuals including the defendant, Habib. The loan was not paid. The bank sued Habib. Who is liable on the note? Explain ?

Q 04:Samira drew a check on her account at Azizi Bank. She later called the bank to stop payment on the check, and the bank agreed to do so. Ten days later, the check was presented to the bank for payment, and the bank paid it. Samira sued the bank for violating the stop payment order. The bank claimed it was not liable. Is Samira entitled to recover? Elaborate it. .

Q 05:Sajida signed a contract of guaranty for the benefit of her son with Afghan United Bank. The guaranty contract included all extensions and renewals of the son's obligation. Subsequently, a renewal of the note added an additional $600 to the original obligation. On the son's default, the bank brought suit on the guaranty contract. Who should win? Why? Elaborate it. .