Question

Legal Principle: The acceptance to an offer should be given only in the mode prescribed by the proposer, for a contract to become enforceable.

Factual Situation: A offered to buy a horse from B requesting that the acceptance should be sent through A's agent. B sent his acceptance through his servant, who reached A's office a day after A's agent reached.

Is A bound by B's acceptance?

• A. No, because the contract is binding only when the acceptance is made in the prescribed mode.
• B. No, because B should have intimated A about the servant coming with the acceptance.
• C. Yes, because B did send the acceptance.
• D. Yes, because the servant is B's employee.

Answer 1

The correct option is A No, because the contract is binding only when the acceptance is made in the prescribed mode.

No, because acceptance in not made in the prescribed mode.

Section 7 of the Indian Contract Act tells that the acceptance should be made as it is stated by proposer in that way only. Otherwise, he has privilege to make the contract void. Communication not made in endorsed way doesn't comprise substantial acceptance and doesn't turn into a valid contract.

Hence, A is the correct option.