{"id":160,"date":"2019-04-09T19:12:21","date_gmt":"2019-04-09T19:12:21","guid":{"rendered":"https:\/\/commerceiets.com\/?p=160"},"modified":"2019-04-09T19:12:21","modified_gmt":"2019-04-09T19:12:21","slug":"valid-essentials-of-acceptance","status":"publish","type":"post","link":"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/","title":{"rendered":"VALID ESSENTIALS OF ACCEPTANCE"},"content":{"rendered":"\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_69_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#ACCEPTANCE\" title=\"ACCEPTANCE\">ACCEPTANCE<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#WHO_MAY_ACCEPT\" title=\"WHO MAY ACCEPT?\">WHO MAY ACCEPT?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#VALID_ESSENTIALS_OF_ACCEPTANCE\" title=\"VALID ESSENTIALS OF ACCEPTANCE\">VALID ESSENTIALS OF ACCEPTANCE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#1_ACCEPTANCE_MUST_BE_ABSOLUTE_AND_UNCONDITIONAL\" title=\"1. ACCEPTANCE MUST BE ABSOLUTE AND UNCONDITIONAL\">1. ACCEPTANCE MUST BE ABSOLUTE AND UNCONDITIONAL<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#2_ACCEPTANCE_MUST_BE_COMMUNICATED_TO_THE_OFFEROR\" title=\"2. ACCEPTANCE MUST BE COMMUNICATED TO THE OFFEROR\">2. ACCEPTANCE MUST BE COMMUNICATED TO THE OFFEROR<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#3_ACCEPTANCE_MUST_BE_ACCORDING_TO_THE_PRESCRIBED_MODE\" title=\"3. ACCEPTANCE MUST BE ACCORDING TO THE PRESCRIBED MODE\">3. ACCEPTANCE MUST BE ACCORDING TO THE PRESCRIBED MODE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#4_ACCEPTANCE_MUST_FOLLOW_THE_CONTRACT_OFFER\" title=\"4. ACCEPTANCE MUST FOLLOW THE CONTRACT OFFER\">4. ACCEPTANCE MUST FOLLOW THE CONTRACT OFFER<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#5_ACCEPTANCE_MUST_BE_MADE_WITHIN_A_REASONABLE_TIME\" title=\"5. ACCEPTANCE MUST BE MADE WITHIN A REASONABLE TIME\">5. ACCEPTANCE MUST BE MADE WITHIN A REASONABLE TIME<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#6_ACCEPTANCE_MAY_BE_EXPRESSED_OR_IMPLIED\" title=\"6. ACCEPTANCE MAY BE EXPRESSED OR IMPLIED\">6. ACCEPTANCE MAY BE EXPRESSED OR IMPLIED<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#7_SILENCE_CANNOT_AMOUNT_TO_ACCEPTANCE\" title=\"7. SILENCE CANNOT AMOUNT TO ACCEPTANCE\">7. SILENCE CANNOT AMOUNT TO ACCEPTANCE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#8ACCEPTANCE_MUST_BE_GIVEN_BEFORE_LAPSE_OF_AN_OFFER\" title=\"8.ACCEPTANCE MUST BE GIVEN BEFORE LAPSE OF AN OFFER\">8.ACCEPTANCE MUST BE GIVEN BEFORE LAPSE OF AN OFFER<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#9_IT_MAY_BE_GIVEN_BY_PERFORMING_CONDITIONS_OR_RECEIVING_CONSIDERATION\" title=\"9. IT MAY BE GIVEN BY PERFORMING CONDITIONS OR RECEIVING CONSIDERATION\">9. IT MAY BE GIVEN BY PERFORMING CONDITIONS OR RECEIVING CONSIDERATION<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#10_ACCEPTANCE_MUST_BE_MADE_BY_THE_PERSON_TO_WHOM_THE_PROPOSAL_IS_MADE\" title=\"10. ACCEPTANCE MUST BE MADE BY THE PERSON TO WHOM THE PROPOSAL IS MADE\">10. ACCEPTANCE MUST BE MADE BY THE PERSON TO WHOM THE PROPOSAL IS MADE<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/#%E2%80%9CA_mere_mental_assent_not_evidenced_by_the_words_or_conduct_does_not_constitute_acceptance%E2%80%9D_Comment\" title=\"\u201cA mere mental assent not evidenced by the words or conduct does not constitute acceptance.\u201d Comment.\">\u201cA mere mental assent not evidenced by the words or conduct does not constitute acceptance.\u201d Comment.<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"has-text-align-center wp-block-heading\" id=\"acceptance\"><span class=\"ez-toc-section\" id=\"ACCEPTANCE\"><\/span><strong>ACCEPTANCE<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"320\" height=\"240\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320.webp\" alt=\"valid essentials of acceptance\" class=\"wp-image-5532\" srcset=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320.webp 320w, https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320-300x225.webp 300w\" sizes=\"(max-width: 320px) 100vw, 320px\" \/><figcaption>valid essentials of acceptance<\/figcaption><\/figure>\n\n\n\n<p class=\"has-black-color has-text-color\">The valid essentials of Acceptance are as follows:<\/p>\n\n\n\n<p class=\"has-cyan-bluish-gray-background-color has-background has-medium-font-size\"><strong>According to Section 2(b) of <a href=\"https:\/\/commerceiets.com\/indian-contract-act-1872\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Indian Contract Act, 1872<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">&#8220;When the person to whom the proposal is made signifies his assent, it is an acceptance of the proposal and accepted proposal is called a promise or an agreement&#8221;.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Thus, when the offeree to whom the <a href=\"https:\/\/commerceiets.com\/offer-or-proposal-its-valid-essentials\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">proposal or offer<\/a> is made unconditionally accepts the offer it becomes a promise.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"619\" height=\"178\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/final-offer-acceptance.png\" alt=\"ACCEPTANCE\" class=\"wp-image-161\" srcset=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/final-offer-acceptance.png 619w, https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/final-offer-acceptance-300x86.png 300w\" sizes=\"(max-width: 619px) 100vw, 619px\" \/><figcaption>valid essentials of acceptance<\/figcaption><\/figure>\n\n\n\n<p class=\"has-black-color has-text-color\">It is an expression\nof assent to the term of an offer.<\/p>\n\n\n\n<p class=\"has-cyan-bluish-gray-background-color has-background has-medium-font-size\"><strong>EXAMPLE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">An offers to sell his horse for rupees 500 to B. B accepts\nthe offer and purchase the horse for rupees 500. This is an acceptance.\n<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"who-may-accept\"><span class=\"ez-toc-section\" id=\"WHO_MAY_ACCEPT\"><\/span><strong>WHO MAY ACCEPT?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\"><font color=\"#005000\" style=\"background-color: transparent;\">The offer must be accepted by the one to whom it is made.<\/font> It cannot be assigned to another or accepted by another without the consent of the person making it. <\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"498\" height=\"127\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/Screenshot-2019-04-09-11.15.58.png\" alt=\"WHO MAY ACCEPT?\" class=\"wp-image-162\" srcset=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/Screenshot-2019-04-09-11.15.58.png 498w, https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/04\/Screenshot-2019-04-09-11.15.58-300x77.png 300w\" sizes=\"(max-width: 498px) 100vw, 498px\" \/><figcaption>valid essentials of acceptance<br \/><\/figcaption><\/figure>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: BOULTON VS. JONES (1857)<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Boulton purchased the business from Brocklehurst about which Jones did not know anything. jones placed an order with Brocklehurst to whom it owed debt. Since the business was purchased by the Boulton it received the letter of offer and supplied the goods to the Jones even though this letter was not addressed to him. jones refused to make payment to the Boulton as he wanted to set off his debt against the Brocklehurst. it was held that jones was not liable since Boulton know the offer was not addressed to him and he had no power to accept it.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"valid-essentials-of-acceptance\"><span class=\"ez-toc-section\" id=\"VALID_ESSENTIALS_OF_ACCEPTANCE\"><\/span><strong>VALID ESSENTIALS OF ACCEPTANCE<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"1-acceptance-must-be-absolute-and-unconditional\"><span class=\"ez-toc-section\" id=\"1_ACCEPTANCE_MUST_BE_ABSOLUTE_AND_UNCONDITIONAL\"><\/span><strong>1. ACCEPTANCE MUST BE ABSOLUTE AND UNCONDITIONAL <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">This is the first and foremost valid essentials of an acceptance.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Acceptance must be unconditional and absolute. There cannot be conditional acceptance that would amount to counter offer which nullifies the original offer. Even a minor or a material change in the terms of the offer vitiates the acceptance. An offer can be converted into promise if it is accepted unconditionally. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: JORDAN V. NORTON<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The Norton offered to buy Jordan\u2019s mare if he guaranteed\nthat the mare was \u2018quite in harness.\u2019 The Jordan wrote to the Norton that the\nmare was \u2018quite in double harness.\u2019 Held it was not acceptance.\n<\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: HYDE V. WRENCH<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The defendant (Wrench) offered to sell his farm to the plaintiff (Hyde) for $1,000. The plaintiff replied that he would pay you $950. This was refused by the defendant. After getting refusal, the plaintiff decided to purchase the farm for $1,000 and sent his assent to the defendant. The defendant refused to sell his farm for $1,000. The plaintiff sued him for specific performance of the contract. It was held that there was no contract between the parties as an offer to buy for $950 in response to the offer to sell for $ 1,000 was only to counter offer which amounted to the rejection of the original offer. The defendant is not bound to accept the contract.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"2-acceptance-must-be-communicated-to-the-offeror\"><span class=\"ez-toc-section\" id=\"2_ACCEPTANCE_MUST_BE_COMMUNICATED_TO_THE_OFFEROR\"><\/span><strong> 2. ACCEPTANCE MUST BE COMMUNICATED TO THE OFFEROR <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">A proposal becomes a contract when the acceptance of such proposal is communicated to the promisor. The communication of acceptance must occur in the prescribed form or any such form in the normal course of the business if no specific form has been prescribed. Additionally, the offeree must also be known about the offer before conveying his acceptance.<font color=\"#005000\" style=\"background-color: transparent;\"> It implies that the offeree<\/font> cannot communicate acceptance without the knowledge of the offer. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">An acceptance can be communicated in any of the following modes by:<\/p>\n\n\n\n<ul class=\"has-black-color has-text-color wp-block-list\"><li>Words Spoken <\/li><li>Words Written<\/li><li>Conduct<\/li><li>Performance Of Conditions <\/li><li>Acceptance Of Contribution<\/li><\/ul>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: BRODGEN VS. METROPOLITAN RAILWAY\nCOMPANY<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The manager of the company received a draught agreement concerning the supply of the coal. The manager wrote the word \u2018approved\u2019 and put the agreement in his drawer and forget all about it. It was held that there was no contract as another party was not communicated about acceptance.<\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: FELTHOUSE V. BINDLEY<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">F offered to buy his nephew&#8217;s horse for $30-15s, adding, &#8220;If I hear no more, I shall consider the horse is mine at $30-15s&#8221;. The nephew did not reply, but told his auctioneer not to sell the horse, as it was sold to his uncle. But the auctioneer sold it by mistake to the third party. F sued him for conversion of his property. It was held that there was no communication of acceptance. mental Acceptance or uncommunicated assent does not result in a contract.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"3-acceptance-must-be-according-to-the-prescribed-mode\"><span class=\"ez-toc-section\" id=\"3_ACCEPTANCE_MUST_BE_ACCORDING_TO_THE_PRESCRIBED_MODE\"><\/span><strong>3. ACCEPTANCE MUST BE ACCORDING TO THE PRESCRIBED MODE <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">It is the legal rule of the acceptance that it must be accepted in the prescribed manner. If the offer is not accepted in the prescribed manner then the offeror has every right to reject the acceptance within reasonable time. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>As per section 7 (2) of <a href=\"https:\/\/commerceiets.com\/indian-contract-act-1872\/\">Indian Contract Act, 1872<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">\u201cIf the acceptance is not made in the manner describe the proposer may within a reasonable time, after the acceptance is communicated to him, insist that the acceptance must be made in the manner prescribed\u201d. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>EXAMPLE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">X offers to sell 500 quintals of wheat for \u20b9 400 per quintal to Y. He required Y to send his\nacceptance by post. Y telephones to X accepting the offer. X may insist that\nacceptance should be sent by post. In such a case telephone conversation would\nnot create a contract. <\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"4-acceptance-must-follow-the-contract-offer\"><span class=\"ez-toc-section\" id=\"4_ACCEPTANCE_MUST_FOLLOW_THE_CONTRACT_OFFER\"><\/span><strong>4. ACCEPTANCE MUST FOLLOW THE CONTRACT OFFER <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">Acceptance follows\noffer. If the acceptor is not aware of the existence of the offer and conveys his\nacceptance, no contract come into being. There must be knowledge of the offer\nbefore anyone could consent to it. An act done in ignorance of the offer cannot\nbe called an acceptance. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background\"><strong>CASE: LALMAN VERSUS SHUKLA VS GAURI DUTT<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The nephew of the defendant Gauri was missing. He sent\nhis servant Lalman to find him out. After the servant had left, he announced a\nreward of \u20b951 for anybody who would trace his\nnephew. The plaintiff traced the nephew before having knowledge of the reward\nannounced by the defendant. Subsequently, the plaintiff claimed the reward when\nhe came to know about it. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Held that plantiff could not recover the reward as the\noffer containing the reward was not communicated to him.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"5-acceptance-must-be-made-within-a-reasonable-time\"><span class=\"ez-toc-section\" id=\"5_ACCEPTANCE_MUST_BE_MADE_WITHIN_A_REASONABLE_TIME\"><\/span><strong>5. ACCEPTANCE MUST BE MADE WITHIN A REASONABLE TIME<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">Sometimes the time\nlimit is fixed within which the acceptance is to be given. In such a case the\nacceptance must be given within the fixed time limit. In case no time limit is\nprescribed the acceptance should be given within a reasonable time. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background\"><strong>CASE: RAMSGATE VICTORIA HOTEL COMPANY\nLIMITED VS. MONTEFLORE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">M applied for shares in RV hotel company limited on 8 June.\nThe company did not write to him allotting the shares until 3rd November. When he\nwas informed that shares were allotted to him, he refused to accept the shares\nwhich led to dispute. It was held that day he was not bound to accept the shares\nas the acceptance to the offer has not been made within a reasonable time.\n<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"6-acceptance-may-be-expressed-or-implied\"><span class=\"ez-toc-section\" id=\"6_ACCEPTANCE_MAY_BE_EXPRESSED_OR_IMPLIED\"><\/span><strong>6. ACCEPTANCE MAY BE EXPRESSED OR IMPLIED<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">An acceptance which\nis expressed by written or spoken words is called expressed acceptance. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color has-medium-font-size\"><strong>EXAMPLE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">If Ravi residing at Jaipur offers to sell his car to Suri\nresiding at Delhi by writing a letter and Suri accepts the offer by writing a\nletter, the acceptance is said to be expressed. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The acceptance which\nis expressed by the conduct of the offeree is known as implied acceptance. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color has-medium-font-size\"><strong>EXAMPLE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">At an auction sale of car, Mahesh is the highest bidder. The\nauctioneer accepts the bid by striking the hammer on the table. It is an\nimplied acceptance. Here the auctioneer conduct of striking the hammer on the\ntable shows that the auctioneer has accepted the highest bid.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"7-silence-cannot-amount-to-acceptance\"><span class=\"ez-toc-section\" id=\"7_SILENCE_CANNOT_AMOUNT_TO_ACCEPTANCE\"><\/span><strong>7.<\/strong> <strong>SILENCE CANNOT AMOUNT TO ACCEPTANCE <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">No contract is formed\nif the offeree remain silent and does nothing to show that he has accepted the\noffer. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Generally speaking\nthe person to whom the proposal is made need not reply. His silence cannot be\nregarded as an acceptance of the proposal. Proposal made to another cannot\nripen into an agreement merely because the offeree makes no reply even though the\nproposal states that silence will be taken to amount to acceptance. So, mental\nacceptance is no acceptance. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: BROGDON VS. METROPOLITAN RAILWAY\nCOMPANY<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">A draft agreement relating to the supply of coal was sent\nto the manager of a railway company for his acceptance. The manager wrote the\nword \u2018approved\u2019 on the agreement but by an oversight the document remained in\nhis drawer. Held there was no contract as it was only mentally accepted and\nthere was no expression of his mental determination.<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"8-acceptance-must-be-given-before-lapse-of-an-offer\"><span class=\"ez-toc-section\" id=\"8ACCEPTANCE_MUST_BE_GIVEN_BEFORE_LAPSE_OF_AN_OFFER\"><\/span><strong>8.ACCEPTANCE MUST BE GIVEN BEFORE LAPSE OF AN OFFER <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">A valid contract can\narise only when the acceptance is made before the offer has lapsed or being\nwithdrawn. An acceptance which is made after the withdrawal of the offer is\ninvalid and does not create any legal relationship. <\/p>\n\n\n\n<p class=\"has-black-color has-text-color has-medium-font-size\"><strong>EXAMPLE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Amar offered by a letter to sell his horse to Akbar for\nrupees 2500. Subsequently, Amar withdraw his offer by a telegram which was also\nreceived by the Akbar. After reciept of this telegram, Akbar accepted the offer\nby a letter and posted the same. In this case, the acceptance is invalid as it\nwas made after the effective withdrawal of the offer.\n<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"9-it-may-be-given-by-performing-conditions-or-receiving-consideration\"><span class=\"ez-toc-section\" id=\"9_IT_MAY_BE_GIVEN_BY_PERFORMING_CONDITIONS_OR_RECEIVING_CONSIDERATION\"><\/span><strong>9. IT MAY BE GIVEN BY PERFORMING CONDITIONS OR RECEIVING CONSIDERATION <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">An offer may be\naccepted by performing an act which is a condition in the proposal or it may be\nthat the consideration is received for a reciprocal promise which may be\noffered with the proposal. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background has-medium-font-size\"><strong>CASE: V RAO VS. A RAO<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The lady invited her niece to stay with her in the same\nhouse and promised her to settle on her an immovable property. The niece stayed\nwith her till the time of her death. It was held that niece had performed the\ncondition of staying with the lady so she was entitled to the property.\n<\/p>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\" id=\"10-acceptance-must-be-made-by-the-person-to-whom-the-proposal-is-made\"><span class=\"ez-toc-section\" id=\"10_ACCEPTANCE_MUST_BE_MADE_BY_THE_PERSON_TO_WHOM_THE_PROPOSAL_IS_MADE\"><\/span><strong>10. ACCEPTANCE MUST BE MADE BY THE PERSON TO WHOM THE PROPOSAL IS MADE<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-black-color has-text-color\">Acceptance can only\nbe given by the person to whom the offer is made. In case of specific offer,\nthe acceptance must be made by the person to whom the offer is made. While in\ncase of general offer, it may be accepted by anyone. <\/p>\n\n\n\n<p class=\"has-black-color has-cyan-bluish-gray-background-color has-text-color has-background\"><strong>CASE: POWELL V. LEE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The plaintiff (Powell) applied for the post of headmaster of school. The board of managers of a school passed a resolution appointing him. they did not communicate their resolution to him, but one of the managers in his individual capacity informed the plaintiff about his appointment as headmaster. later the matter was reopened, and Parker, another candidate, who had originally been rejected, was appointed in plaintiff&#8217;s place. Powell, the plaintiff thereupon sued the defendant Lee, the chairman of the board of manager for breach of contract. it was held that there was no contract between the parties because acceptance was not communicated to the plaintiff by an authorised person.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Thus, acceptance is the manifestations of the assent of the person to whom the offer is made to the terms of offer, and a binding promise comes into existence only when the terms of an offer are accepted.<\/p>\n\n\n\n<h2 class=\"has-text-align-center wp-block-heading\" id=\"a-mere-mental-assent-not-evidenced-by-the-words-or-conduct-does-not-constitute-acceptance-comment\"><span class=\"ez-toc-section\" id=\"%E2%80%9CA_mere_mental_assent_not_evidenced_by_the_words_or_conduct_does_not_constitute_acceptance%E2%80%9D_Comment\"><\/span><strong>\u201cA mere mental assent not evidenced by the words or conduct does not constitute acceptance.\u201d Comment.<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"has-black-color has-text-color\">It is true that mere mental assent evidenced by the words or conduct does not constitute the acceptance. Acceptance is the expression of the assent to the terms of an offer being offered by the offeror.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">According to Section 2 (b) of the Indian Contract Act, 1872:<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">\u201cWhen the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. A proposal, when accepted, becomes a promise.\u201d<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">A proposal becomes a contract when the acceptance of such proposal is communicated to the promisor. The communication of acceptance must occur in the prescribed form or any such form in the normal course of the business if no specific form has been prescribed. Additionally, the offeree must also be known about the offer before conveying his acceptance.&nbsp;It implies that the offeree&nbsp;cannot communicate acceptance without the knowledge of the offer.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">An acceptance can be communicated in any of the following modes by:<\/p>\n\n\n\n<ul class=\"has-black-color has-text-color wp-block-list\"><li>Words Spoken<\/li><li>Words Written<\/li><li>Conduct<\/li><li>Performance Of Conditions<\/li><li>Acceptance Of Contribution<\/li><\/ul>\n\n\n\n<p class=\"has-black-color has-grey-background-color has-text-color has-background has-regular-font-size\"><strong>CASE: BRODGEN VS. METROPOLITAN RAILWAY COMPANY<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The manager of the company received a draught agreement concerning the supply of the coal. The manager wrote the word \u2018approved\u2019 and put the agreement in his drawer and forget all about it. It was held that there was no contract as another party was not communicated about acceptance.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>COMMUNICATION OF ACCEPTANCE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The communication of the acceptance must be completed by both the parties to the contract i.e. as against the offeror and offeree both.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>According to Section 4 (2) of the Indian Contract Act, 1872:<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">\u201cThe communication of an acceptance is complete as against the proposer, when it is put in a course of transmission to him, so as to be out of the power of the acceptor to withdraw the same and as against the acceptor, when it comes to the knowledge of the proposer.\u201d<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The rules of communication of acceptance are as follows:<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>AS AGAINST THE OFFEROR: <\/strong>The communication of acceptance as against the offeror is complete when the acceptance is put in a course of transmission to offeror by the offeree. It imply that the offeree lose the power to withdraw his acceptance. If the acceptance is posted by the letter, then the acceptance is completed as the letter is posted and offeree is not in the position to stop its transmission. If the acceptance is made by the telegram, then the acceptance is completed as the telegram is posted or booked.<\/p>\n\n\n\n<p class=\"has-black-color has-grey-background-color has-text-color has-background has-regular-font-size\"><strong>CASE: HOUSEHOLD FIRE INSURANCE CO. VS. GRANT (1879)<\/strong><strong><\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Grant made an offer to purchase the shares of the plaintiff company by the letter sent through the post. The company accepted the application and letter of allotment of shares was posted to the Grant. The letter has not reached the Grant. But as it was sent by the company, the acceptance is said to be communicated as against at the offeree. Held, Grant is liable to pay the amount of allotment due for the shares.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>AS AGAINST THE OFFEREE: <\/strong>The communication of acceptance is complete as against the offeree is complete when the acceptance of the proposal or offer comes into the knowledge of the offeror. The communication of the acceptance is binding on the offeree when the letter or telegram posted reaches the offeror. It means the offeree cannot revoke his acceptance then. In case he wants to revoke the acceptance, then the letter of revocation must be received earlier than letter of acceptance by the offeror.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">Example: Mr. A offers to sell his car to Mr. B for $25000. Mr. B accepts the offer and sent his acceptance by post on January 20. The letter of acceptance is received by Mr. A on January 25. Mr. B is bound by his acceptance on January 25 when the letter of acceptance is received by the Mr. A. &nbsp;<\/p>\n\n\n\n<p class=\"has-black-color has-grey-background-color has-text-color has-background has-regular-font-size\"><strong>CASE: FELTHOUSE V. BINDLEY<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">F offered to buy his nephew\u2019s horse for $30-15s, adding, \u201cIf I hear no more, I shall consider the horse is mine at $30-15s\u201d. The nephew did not reply, but told his auctioneer not to sell the horse, as it was sold to his uncle. But the auctioneer sold it by mistake to the third party. F sued him for conversion of his property. It was held that there was no communication of acceptance. Mental Acceptance or non-communicated assent does not result in a contract.<\/p>\n\n\n\n<p class=\"has-black-color has-text-color\"><strong>EXCEPTIONS TO THIS RULE<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">There are also some exceptions to this rule where the silence or mere mental acceptance amounts to the final acceptance. The exceptions are as follows:<\/p>\n\n\n\n<ol type=\"1\" class=\"has-black-color has-text-color wp-block-list\"><li>Where the offeree has the sufficient opportunity to reject the offer but he makes or continues to make the use of the goods offered to him.<\/li><\/ol>\n\n\n\n<p class=\"has-black-color has-grey-background-color has-text-color has-background has-regular-font-size\"><strong>CASE: KASHI PRASAD V. SAJJADS BEGAM (1940)<\/strong><strong><\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">The landlord served the notice on the tenant regarding the rise in the rent of the building or premises rented to him. The tenant without conveying any intention to stay more or not, continues to occupy the premises. Held, the silence of the tenant amounts to the acceptance of the rise in the rental charges. So, the tenant has to pay the rent in future at the increased prices.<\/p>\n\n\n\n<ul class=\"has-black-color has-text-color wp-block-list\"><li>Where on the basis of the previous dealings or conduct, the offeror has the sufficient grounds to make believe that when the offeree remains silent, it amounts to the acceptance.<\/li><li>If there is fiduciary relationship among the parties i.e. the relationship of utmost good faith and they are under the duty to speak, then mere silence on their part amounts equivalent to the speech. Fiduciary relations usually exist between the sisters, brothers, husband-wife, mother and father, son and daughter etc.<\/li><\/ul>\n\n\n\n<p class=\"has-black-color has-text-color has-larger-font-size\"><strong>CONCLUSION<\/strong><\/p>\n\n\n\n<p class=\"has-black-color has-text-color\">So, it is clear that the acceptance must be communicated by the words of mouth, in writing or by conduct. A mere mental acceptance is no acceptance. There must be some external mode or action that the law recognizes. So an agreement cannot result out of the mere mental assent, an intention to accept or mental resolve.&nbsp;<\/p>\n\n\n\n<p>JOIN THE CHANNEL ON TELEGRAM<\/p>\n\n\n\n<p><a href=\"https:\/\/t.me\/commerceiets\" target=\"_blank\">https:\/\/t.me\/commerceiets<\/a><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"320\" height=\"240\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320-1.webp\" alt=\"\" class=\"wp-image-5533\" srcset=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320-1.webp 320w, https:\/\/commerceiets.com\/wp-content\/uploads\/2022\/05\/essentials-of-acceptence-and-communication-of-offer-3-320-1-300x225.webp 300w\" sizes=\"(max-width: 320px) 100vw, 320px\" \/><figcaption>valid essentials of acceptance<\/figcaption><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>ACCEPTANCE The valid essentials of Acceptance are as follows: According to Section 2(b) of Indian Contract Act, 1872 &#8220;When the person to whom the proposal is made signifies his assent, it is an acceptance of the proposal and accepted proposal is called a promise or an agreement&#8221;. Thus, when the offeree to whom the proposal&#8230;<\/p>\n<p class=\"more-link-wrap\"><a href=\"https:\/\/commerceiets.com\/valid-essentials-of-acceptance\/\" class=\"more-link\">Read More<span class=\"screen-reader-text\"> &ldquo;VALID ESSENTIALS OF ACCEPTANCE&rdquo;<\/span> &raquo;<\/a><\/p>\n","protected":false},"author":2,"featured_media":205,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[2],"tags":[7],"class_list":["post-160","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-commercial-law","tag-a-mere-mental-assent-not-evidenced-by-the-words-or-conduct-does-not-constitute-acceptance-comment"],"_links":{"self":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/160"}],"collection":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/comments?post=160"}],"version-history":[{"count":0,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/160\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media\/205"}],"wp:attachment":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media?parent=160"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/categories?post=160"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/tags?post=160"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}