Q1: 1. In the context of Section 96 of the Negotiable Instruments Act 1881, who can be appointed as an agent for presentment?

• A) A) Any person
• B) B) A banker
• C) C) A minor
• D) D) A corporation

Q2: 2. Which of the following statements about the role of an agent for presentment is true?

• A) A) An agent for presentment must be related to the payee of the instrument.
• B) B) An agent for presentment is not required to act with reasonable diligence.
• C) C) An agent for presentment must be appointed by the holder of the instrument.
• D) D) An agent for presentment is not allowed to act on behalf of the holder.

Q3: 3. If the holder of a negotiable instrument appoints a banker as an agent for presentment, who bears the risk of the banker's default?

• A) A) The drawer of the instrument
• B) B) The payee of the instrument
• C) C) The banker
• D) D) The holder of the instrument

Q4: 4. In a real-life scenario, if the agent for presentment fails to present the instrument on time, what consequences may arise?

• A) A) The instrument may be deemed invalid.
• B) B) The drawer may be discharged from liability.
• C) C) The payee may lose the right to claim payment.
• D) D) The holder may lose the right to enforce the instrument.

Q5: 5. What is the primary purpose of appointing an agent for presentment under Section 96 of the Negotiable Instruments Act 1881?

• A) A) To transfer ownership of the instrument
• B) B) To ensure timely presentment of the instrument for payment
• C) C) To waive the rights of the holder
• D) D) To negate the liability of the drawer

Q6: 6. Who can appoint an agent for presentment under Section 96 of the Negotiable Instruments Act 1881?

• A) A) Only the drawer of the instrument
• B) B) Only the payee of the instrument
• C) C) Only the holder of the instrument
• D) D) Any party involved in the transaction

Q7: 7. In a case where the agent for presentment is appointed by the holder but fails to present the instrument, who is responsible for any resulting damages?

• A) A) The agent for presentment
• B) B) The holder of the instrument
• C) C) The drawer of the instrument
• D) D) The payee of the instrument

Q8: 8. What happens if the agent for presentment presents the instrument after the due date?

• A) A) The instrument becomes void.
• B) B) The drawer is automatically discharged from liability.
• C) C) The holder loses the right to claim payment from the parties involved.
• D) D) The holder can still enforce the instrument against the parties liable on it.

Q9: 9. Under Section 96, can an agent for presentment be appointed after the due date of the instrument?

• A) A) Yes, but only with the consent of the drawer
• B) B) No, the appointment must be made before the due date
• C) C) Yes, but only if the payee agrees
• D) D) No, the appointment is invalid after the due date

Q10: 10. If the agent for presentment is unable to locate the drawee of the instrument, what should the agent do?

• A) A) Wait indefinitely until the drawee is found
• B) B) Proceed with presentment to any available party
• C) C) Return the instrument to the holder
• D) D) Seek legal advice on how to proceed

Q11: 11. What legal consequences may arise if the agent for presentment wrongfully refuses to present the instrument?

• A) A) The instrument becomes non-negotiable
• B) B) The holder loses the right to enforce the instrument
• C) C) The agent becomes personally liable for payment
• D) D) The drawer is automatically discharged from liability

Q12: 12. Can a holder appoint multiple agents for presentment under Section 96?

• A) A) Yes, but only if they are from different banks
• B) B) No, only one agent can be appointed per instrument
• C) C) Yes, but the agents must be appointed sequentially
• D) D) No, multiple agents are not allowed

Q13: 13. In a case where the agent for presentment is a banker and the instrument is dishonored, who is responsible for giving notice of dishonor?

• A) A) The agent for presentment
• B) B) The drawer of the instrument
• C) C) The payee of the instrument
• D) D) The holder of the instrument

Q14: 14. If the agent for presentment fails to present the instrument due to a natural disaster, what should the holder do?

• A) A) Hold the agent liable for the loss
• B) B) Wait for the agent to resume services
• C) C) Appoint a new agent immediately
• D) D) Notify the drawee of the delay

Q15: 15. What is the significance of appointing a banker as an agent for presentment?

• A) A) Bankers are exempt from liability in case of default
• B) B) Bankers have specialized knowledge in handling negotiable instruments
• C) C) Bankers are not legally recognized as agents for presentment
• D) D) Bankers cannot act as agents for presentment

Q16: 16. If the agent for presentment misplaces the instrument before presenting it, what steps should the holder take?

• A) A) Hold the agent responsible for the loss
• B) B) Issue a duplicate instrument to the drawee
• C) C) Notify the drawee of the loss
• D) D) Seek legal advice on how to proceed

Q17: 17. Can the agent for presentment delegate their responsibilities to another party without consent?

• A) A) Yes, but only if the holder agrees
• B) B) No, delegation is not allowed under Section 96
• C) C) Yes, delegation is allowed to any third party
• D) D) No, delegation is only permitted with court approval

Q18: 18. What recourse does the holder have if the agent for presentment refuses to act on their behalf?

• A) A) File a lawsuit against the agent for breach of contract
• B) B) Appoint a new agent immediately
• C) C) Wait for the agent to change their mind
• D) D) Notify the drawer of the agent's refusal

Q19: 19. In a scenario where the agent for presentment presents the instrument but fails to collect payment, what should the holder do?

• A) A) Hold the agent liable for the loss
• B) B) Re-appoint the same agent for another attempt
• C) C) Notify the drawee of the incomplete transaction
• D) D) Seek legal advice on how to proceed

Q20: 20. Can an agent for presentment charge a fee for their services under Section 96?

• A) A) Yes, but only if the payee agrees to the fee
• B) B) No, agents are prohibited from charging fees
• C) C) Yes, agents can charge reasonable fees for their services
• D) D) No, agents can only be compensated by the drawer

Q21: 21. If the agent for presentment is unable to locate the drawee after reasonable efforts, what should the agent do next?

• A) A) Return the instrument to the holder
• B) B) Proceed with presentment to any available party
• C) C) Seek legal guidance on how to proceed
• D) D) Wait for further instructions from the holder

Q22: 22. In a situation where the agent for presentment falls ill and cannot perform their duties, what should the holder do?

• A) A) Appoint a new agent immediately
• B) B) Wait for the agent to recover
• C) C) Notify the drawee of the delay
• D) D) Seek legal advice on how to proceed

Q23: 23. If the agent for presentment mistakenly presents the instrument to the wrong party, what implications may arise?

• A) A) The instrument becomes void
• B) B) The holder loses the right to enforce the instrument
• C) C) The agent becomes personally liable for the mistake
• D) D) The drawer is automatically discharged from liability

Q24: 24. Can an agent for presentment refuse to act on behalf of the holder without a valid reason?

• A) A) Yes, agents have the right to refuse at their discretion
• B) B) No, refusal without a valid reason may lead to liability
• C) C) Yes, refusal is allowed if the agent is busy
• D) D) No, refusal is only permitted with court approval

Q25: 25. If the agent for presentment encounters a technical issue preventing presentment, what should the agent do?

• A) A) Proceed with presentment regardless
• B) B) Seek technical support to resolve the issue
• C) C) Return the instrument to the holder
• D) D) Notify the drawee of the technical problem