Question

Given below is a statement of legal principle followed by factual situation. Apply the principle to the facts and select the most appropriate answer.
Principle: A contract requires a proposal and an acceptance of the proposal. It is necessary to make a binding contract, not only that the proposal be accepted, but also that the acceptance is notified to the proposer.
A sent a letter to B stating that he was willing to sell to B, $10$ bags of rice at $Rs.20/-$ each. B made a telephone call to A to inform him that he had accepted the offer. Just as he was stating his acceptance, a very noisy aircraft few over B's house. A was not able to heat the acceptance.

• A. There is no contract since the acceptance has not been notified to A
• B. There is no contract since the reply also has to be in writing
• C. This is a valid contract since B conveyed his acceptance to A. It does not matter if A heard it or not
• D. None of the above

Answer 1

The correct option is A There is no contract since the acceptance has not been notified to A

As per the given principle option (a) is correct. In this case the contract could not be completed because the offer or could not be notified about the acceptance.
Without acceptance these is no contract
$offer+acceptance=contract$.
Properly
Notified as conveyed.