CA Inter P2 ยท Chapter 12
The General Clauses Act, 1897 and Interpretation of Statutes MCQs with Answers
12 multiple-choice questions on The General Clauses Act, 1897 and Interpretation of Statutes for CA Inter P2 Corporate and Other Laws. Try each one before revealing the answer and explanation.
Practise this chapter interactivelyQuestion 1
Under section 3(42) of the General Clauses Act, 1897, the term 'person' includes:
- A) Any company or association or body of individuals, whether incorporated or not
- B) Only individuals and companies registered under the Companies Act
- C) Only natural persons who have attained majority
- D) Only bodies incorporated under a Central Act
Show answer & explanation
Answer: A) Any company or association or body of individuals, whether incorporated or not
Section 3(42) of the General Clauses Act provides that 'person' shall include any company or association or body of individuals, whether incorporated or not. This wide definition applies in all Central Acts and Regulations unless there is anything repugnant in the subject or context.
Question 2
Under section 3(22) of the General Clauses Act, 1897, a thing is deemed to be done in 'good faith' where it is in fact done:
- A) With due care and attention
- B) In accordance with the advice of an expert
- C) Honestly and without any negligence
- D) Honestly, whether it is done negligently or not
Show answer & explanation
Answer: D) Honestly, whether it is done negligently or not
Section 3(22) provides that a thing shall be deemed to be done in good faith where it is in fact done honestly, whether it is done negligently or not. The test is honesty, not carefulness. This contrasts with the definition in the general penal law, where nothing is said to be done in good faith if it is done without due care and attention.
Question 3
A provision of a Central Act grants a concession for goods imported 'from 1 March to 10 March'. Applying section 9 of the General Clauses Act, 1897, the concession covers:
- A) Goods imported on 1 March to 9 March, both days inclusive (nine days)
- B) Goods imported on 1 March to 10 March, both days inclusive (ten days)
- C) Goods imported on 2 March to 10 March, both days inclusive (nine days)
- D) Goods imported on 2 March to 9 March, both days inclusive (eight days)
Show answer & explanation
Answer: C) Goods imported on 2 March to 10 March, both days inclusive (nine days)
Section 9 provides that the word 'from' is used to exclude the first in a series of days, and the word 'to' is used to include the last. So 1 March is excluded and 10 March is included. The concession covers 2 March to 10 March, which is 10 - 2 + 1 = 9 days.
Question 4
An Act under which a prosecution had already started is repealed by a new Act. The repealing Act shows no different intention. Under section 6 of the General Clauses Act, 1897:
- A) The pending prosecution may be continued and any penalty imposed as if the repealing Act had not been passed
- B) The prosecution abates automatically on the date of repeal
- C) The prosecution may continue only if the repealing Act expressly saves it
- D) The prosecution must be restarted under the new Act
Show answer & explanation
Answer: A) The pending prosecution may be continued and any penalty imposed as if the repealing Act had not been passed
Section 6 provides that, unless a different intention appears, the repeal of an enactment does not affect any investigation, legal proceeding or remedy regarding any right, liability, penalty or punishment incurred under it. Such proceedings may be instituted, continued or enforced as if the repealing Act had not been passed. Repeal also does not revive anything not in force when the repeal takes effect.
Question 5
Under section 26 of the General Clauses Act, 1897, where an act or omission is an offence under two or more enactments, the offender:
- A) Can be prosecuted only under the enactment passed first
- B) Can be prosecuted only under the enactment with the lesser punishment
- C) Is liable to be prosecuted and punished under either or any of them, but not punished twice for the same offence
- D) Must be prosecuted and punished under all the enactments
Show answer & explanation
Answer: C) Is liable to be prosecuted and punished under either or any of them, but not punished twice for the same offence
Section 26 provides that where an act or omission constitutes an offence under two or more enactments, the offender is liable to be prosecuted and punished under either or any of them. He shall not be liable to be punished twice for the same offence, reflecting the rule against double jeopardy.
Question 6
Under section 27 of the General Clauses Act, 1897, where a Central Act requires a document to be served by post, service is deemed to be effected by:
- A) Sending the document by ordinary post, at the time of posting
- B) Handing over the document personally to the addressee only
- C) Properly addressing, pre-paying and posting by registered post a letter containing the document, at the time it would be delivered in the ordinary course of post
- D) Publishing the document in the Official Gazette
Show answer & explanation
Answer: C) Properly addressing, pre-paying and posting by registered post a letter containing the document, at the time it would be delivered in the ordinary course of post
Section 27 provides that, unless a different intention appears, service by post is deemed effected by properly addressing, pre-paying and posting by registered post a letter containing the document. Unless the contrary is proved, service is deemed made at the time the letter would be delivered in the ordinary course of post.
Question 7
Which rule of interpretation is regarded as the primary rule, requiring the words of a statute to be given their plain and ordinary meaning when they are clear and unambiguous?
- A) The rule of beneficial construction
- B) The rule of harmonious construction
- C) The mischief rule
- D) The literal rule
Show answer & explanation
Answer: D) The literal rule
The literal rule is the primary rule of interpretation. Where the language of a statute is plain and unambiguous, the court must give effect to it whatever the consequences, because the legislature is presumed to mean what it says. Other rules are used mainly when the words are ambiguous or lead to absurdity.
Question 8
The mischief rule of interpretation, laid down in Heydon's case, requires the court to consider four matters. Which of the following is NOT one of them?
- A) What was the mischief and defect for which the common law did not provide
- B) The views of the Minister who moved the Bill, as recorded in a newspaper
- C) What remedy Parliament resolved to provide, and the true reason for the remedy
- D) What was the common law before the making of the Act
Show answer & explanation
Answer: B) The views of the Minister who moved the Bill, as recorded in a newspaper
Heydon's case (1584) asks the court to consider: the common law before the Act; the mischief and defect for which the common law did not provide; the remedy Parliament resolved to provide; and the true reason for the remedy. The court then adopts the construction that suppresses the mischief and advances the remedy. Newspaper reports of a Minister's views are not part of the test.
Question 9
A statute imposes a licence fee on 'cars, buses, lorries, vans and other vehicles'. Applying the rule of ejusdem generis, the words 'other vehicles' would most likely be read to include:
- A) Every means of transport of any kind
- B) Aircraft and ships
- C) Bicycles and handcarts
- D) Motorised road vehicles similar to those listed
Show answer & explanation
Answer: D) Motorised road vehicles similar to those listed
Under the ejusdem generis rule, where general words follow specific words that form a distinct class or genus, the general words are limited to things of the same class. Cars, buses, lorries and vans form a class of motorised road vehicles. 'Other vehicles' is therefore read as other motorised road vehicles, not bicycles, aircraft or ships.
Question 10
The rule of interpretation under which the meaning of a doubtful word may be ascertained by reference to the meaning of words associated with it is known as:
- A) Reddendo singula singulis
- B) Expressio unius est exclusio alterius
- C) Noscitur a sociis
- D) Contemporanea expositio
Show answer & explanation
Answer: C) Noscitur a sociis
Noscitur a sociis means 'a word is known by the company it keeps'. Where a word is capable of more than one meaning, its meaning is taken from the words with which it is associated. Ejusdem generis is a particular application of this broader rule.
Question 11
Which of the following is an EXTERNAL aid to the interpretation of a statute?
- A) An illustration appended to a section of the Act
- B) Parliamentary history, such as the statement of objects and reasons of the Bill
- C) A proviso to a section of the Act
- D) The preamble of the Act
Show answer & explanation
Answer: B) Parliamentary history, such as the statement of objects and reasons of the Bill
Internal aids are found within the statute itself, such as the long title, preamble, headings, marginal notes, definitions, provisos, illustrations, explanations and schedules. External aids lie outside the statute and include parliamentary history (such as the statement of objects and reasons and debates), historical facts, dictionaries, statutes in pari materia and judicial decisions.
Question 12
Two sections of the same Act appear to conflict with each other. The court interprets them so that both are given effect as far as possible, without making either of them redundant. This is the rule of:
- A) Harmonious construction
- B) Strict construction of penal statutes
- C) Literal construction
- D) Exceptional construction
Show answer & explanation
Answer: A) Harmonious construction
Under the rule of harmonious construction, provisions of a statute that appear to conflict must be read together and reconciled so that effect is given to both, as far as possible. The court avoids a reading that would make one provision a dead letter, because the legislature is presumed not to have intended an inconsistency.
