” If offeree sent his acceptance through a mode other than other prescribed mode and if offeror remains silent, the contract is accepted. “ The acceptance must be expressed in some usual or reasonable manner, unless the proposal prescribed the manner in which it to be accepted. But an enquiry as to terms of the offer does not necessarily mean a counter offer. Any change in conditions of offer lead to the counter offer, rendering the original offer rejected. The acceptance should follow the mirror-image rule as it should be absolute and unqualified in relation to the offer. The conduct would amount to acceptance only when it is clear that offeree did the act with the intention of accepting the offer. The communication is not required when the acceptance is made through conduct. When any acceptance is made to the wrong person or posted at wrong address, the offeror is held not liable. The court adjudicated that there was no formal communication by any authorized person on behalf of Board which doesn’t give rise to any contract. One of the members of board unauthorizedly communicated this to him and later he wasn’t selected.
Lee Powell was selected by Board of Managers for post of headmaster. The court decided that no contract is formed as acceptance was not communicated at all.Ĭommunication of acceptance must be made by the offeree or his duly authorized person. The auctioneer sold the horse by mistake and the uncle sued him for conversion. The nephew did not reply but told his auctioneer about the same. Bindley Felthouse wrote a letter to his nephew to buy his horse stating that if he did not hear about his acceptance, he will consider the offer to be approved. įor a valid contract, the acceptance must be communicated and should be made to the offeror or his authorized agent. Thus an offer cannot be accepted when the acceptor is ignorant about it. consensus-ad-idem is necessary to make a valid contract.
“ The communication of a proposal is complete when it comes to knowledge of the person to whom it is made. ” Just like a lighted match comes in contact with gunpowder and cause irreversible explosion, similarly after acceptance a contract is created, bounding both parties to honor it. “Acceptance is to an offer what a lighted match is to a train of gunpowder.
POSTBOX INDIA FULL
The court held that it was lawful as the person giving the bid was making the offer and company had full authority to not accept it. Bharat Coking Coal Ltd, the company rejected the highest bid of tender and decided to re-auction the goods. He may reject it or lapse due to by non-acceptance. The offeree is not bound to accept the offer.
POSTBOX INDIA CODE
A proposal, when accepted becomes a promise.” In this definition, “ person” as defined under General Clauses Act, 1963 and the Indian Penal Code is considered. It must be made with intention to create legal relations.Īcceptance has been defined as “ When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. The offer can be express or implied and must be certain with definite terms and conditions. For a valid offer, the proposer must intend to communicate that offer or which has effect of communicating the offer. As every clap requires striking of both hands, both offer and acceptance are necessary to form a valid contract. It has been defined as: “ an agreement enforceable by law ”.
Major English case law judgements as well as Indian case laws are also included to support the arguments presented in the paper.Ī contract is a mutual agreement between the parties that governs and recognizes their rights. The rules relating to instantaneous communication along with principle of the revocation are also reasoned with comparison. The rules of postal rule in England are also discussed to facilitate comparison so as to better understand India’s regulations on the mailbox rule. The paper begins with definition of acceptance, essentials of valid acceptance, origin of the rule and its misuse by the offeror. It will delve into its origin, developments and present applicable rules in relation with the “ Indian Contract Act, 1872”. It will deal with essentials of a valid acceptance and the exception of Post box rule in India.
The research paper will mainly deal with most significant step in the contract formation –‘ Communication of acceptance’. The significance that contracts hold in today’s world can’t be questioned. With the growing advancements in the world and integration of the economies, the quantum of transactions has upsurged lately. Mailbox Regulations and Rules Communication of acceptance and Post Box rule in Contract law
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