New SIDBI Grade A New Batch Starts on Nov 18

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    Question

    If A gives a house on lease to B and it catches fire and gets destroyed completely while B is in possession, in such a case__________.

    A Lease shall become void at the option of A. Correct Answer Incorrect Answer
    B Lease shall become void at the option of B. Correct Answer Incorrect Answer
    C Lease shall automatically become void. Correct Answer Incorrect Answer
    D Lease becomes inoperative. Correct Answer Incorrect Answer
    E A has to give compensation to B as it is act of god. Correct Answer Incorrect Answer

    Solution

    Transfer of Property Act  S. 108 (B) Rights and liabilities of the lessee (e) if by fire, tempest or flood, or violence of an army or of a mob, or other irresistible force, any material part of the property be wholly destroyed or rendered substantially and permanently unfit for the purposes for which it was let, the lease shall, at the option of the lessee, be void: Provided that, if the injury be occasioned by the wrongful act or default of the lessee, he shall not be entitled to avail himself of the benefit of this provision.

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