Whistle Cabs, a taxi service company, has been ordered by the traffic department to update their taximeters to digital ones.Whistle Cabs decides to contract with Running Electricals, who provide digital taximeters.But to acquire it on such short notice, Whistle Cabs approaches Goldmint Bank.Goldmint Bank purchases the taximeters, and the taximeters are delivered to Whistle Cabs.The contract between Whistle Cabs and Goldmint Bank allows the taxi service company to use the taximeters for a period of time by providing monthly rentals till that period is completed.What is the nature of the contract made between Goldmint, Whistle Cab, and Running Electricals?
A)counteroffer
B)lease
C)sale of goods
D)option contract

Question

Quizplus · Accepted Answer

The nature of the contract is a lease as Whistle Cabs is renting the taximeters on a monthly basis from Goldmint Bank. The involvement of Running Electricals indicates that they may have sold the taximeters to Goldmint Bank, who is then leasing them to Whistle Cabs.

Whistle Cabs, a Taxi Service Company, Has Been Ordered by the Traffic