Question

Principle: When a person who has made a promise to another person to do something does not fulfill his promise, another person becomes entitled to receive, from the person who did not fulfill his promise, compensation in the form of money.
Facts: X made a promise to Y to repair his car engine. Y made the payment for repair. After the repair, Y went for a drive in the same car. While driving the car, Y met with an accident due to bursting of the tyre.

• A. X will be entitled to receive compensation from Y in the form of money.
• B. Y will be entitled to receive compensation from X in the form of money.
• C. X will not be entitled to receive compensation.
• D. Y will not be entitled to receive compensation from X.

Hint:

In contract law, when a promise is broken, the promisee (the person who was promised something) is entitled to compensation, especially when the breach causes harm.

Answer 1

The Correct Option is B

The principle suggests that when a person makes a promise to do something and does not fulfill it, the other party becomes entitled to compensation in the form of money. In this case, X made a promise to repair Y's car engine, but after the repair, Y experienced an accident, which was likely related to the repair work that was incomplete or improper (as suggested by the burst tyre). Therefore, Y is entitled to receive compensation from X for the incident.
Thus, the correct answer is (B). Option (A) is incorrect because X had made the promise to repair, not to compensate Y. Option (C) is incorrect because X is liable for not fulfilling the promise. Option (D) is incorrect because Y is entitled to compensation from X, not the other way around.

Answer 2

This question applies a straightforward breach-and-compensation rule to a repair contract. Let's look at each option.

1. X will be entitled to receive compensation from Y in the form of money: Y paid X for the repair and performed no promise of his own that could be breached, so there is no basis for X to claim compensation from Y under this principle. X is the party who owed a performance, not the party owed one.
2. Y will be entitled to receive compensation from X in the form of money: X promised to repair Y's car engine and Y paid for that promise. Shortly after the repair, while driving the very car that had just been worked on, the tyre burst and caused an accident, indicating the repair work was not properly completed to make the car safe to drive. Since X's promise was not fulfilled to a standard that made the car roadworthy, the principle entitles Y, the party who suffered the resulting harm, to monetary compensation from X.
3. X will not be entitled to receive compensation: While this statement happens to be true in isolation, since X indeed cannot claim compensation, it fails to identify who is actually entitled to it, which the question requires the correct option to do.
4. Y will not be entitled to receive compensation from X: This directly denies Y the compensation the principle affords once X's promised repair proves unfulfilled or defective, and does not match the outcome that follows from the facts.

Because the repair failed to prevent the very kind of incident it was meant to guard against, X's promise stands unfulfilled, and Y, having suffered loss as a result, is entitled to compensation.

Therefore, the correct answer is Y will be entitled to receive compensation from X in the form of money.

Answer 3

The principle requires three elements before compensation arises: a promise by one person to do something, a failure to fulfil that promise, and a resulting entitlement running to the other person. Working through each option against these three elements.

1. X will be entitled to receive compensation from Y in the form of money: For X to claim compensation, Y would need to be the one who made an unfulfilled promise. Y made no promise at all, he simply paid for the repair X promised, so element one, an unfulfilled promise on Y's part, is missing entirely.
2. Y will be entitled to receive compensation from X in the form of money: X promised to repair the engine, that is element one. The repair proving unable to prevent a tyre burst so soon after, on the very car just serviced, points to that promise not being properly fulfilled, satisfying element two. Y, who paid for and relied on that promise, then suffered the accident, satisfying element three, an entitlement running to Y. All three elements point the same way.
3. X will not be entitled to receive compensation: This statement is true as far as it goes, since X's promise was to Y, not the reverse, but it stops short of answering the actual question, who is entitled to compensation, which elements two and three resolve in Y's favour.
4. Y will not be entitled to receive compensation from X: This denies element three despite elements one and two both being satisfied, an unfulfilled promise by X and resulting harm to Y are exactly what triggers Y's entitlement under the principle.

All three elements, X's promise, its apparent non-fulfilment, and the resulting harm to Y, line up to place the compensation right with Y against X.

Therefore, the correct answer is Y will be entitled to receive compensation from X in the form of money.