Modification or revocation is not effective until it is communicated to the offeree or received at the offeree’s mailing address. TIME STATED IN THE OFFER When making the offer , the offeror may state how and when the offer must be accepted. Revoked by offeror –right of revocation –must be communicated to offeree 2. Time stated in offer – acceptance must be received by offeror by date in offer 3. Reasonable length of time –circumstances and product determine “reasonable” (ex. tomatoes vs. truck) 4. Rejection by offeree –after offer is rejecte offer is terminated 5. What is the revocation of acceptance? Can acceptance be revoked? What does it mean to revoke an offer?
The regulation of withdrawal and revocation of offer and acceptance plays a vital role not only in determining the time of conclusion of a contract but also in maintaining smooth transactions among individuals. HELD: He accepted established authority that tickets for carriage constitute anoffer rather than a completed agreement. However he adopted a complexinterpretation involving two distinct contracts.
Jacobs considered that the carriersoffer is accepted by the passenger accepting the ticket and paying the price,forming an executory contract between the carrier and the purchaser. The ticketalso constitutes an offer of carriage to the proposed passenger (who may differfrom the purchaser of the ticket) capable of acceptance by presentation of theticket. If the purchaser of the ticket is the proposed passenger, the two contractsmerge. In neither case however, does the ticket constitute the agreement, making itliable to stamp duty. See full list on studocu.
If accepte this iswhen the contract is formed. The offer is then accepted or rejected by the cashier. The display of the item was merely an invitation totreat. The prospective buyer has to make an offer that the advertiser can accept or reject. Hughes Aircraft Systems Int.
The place where letter to be sent was an essential partof offer. D sent letter to diff place then P wanted and at later date then P said HELD: There was no acceptance and hence no contract formed. Not acceptedwithin proper time, right place or correct manner Entores Ltd v Miles Far East Corp A contract was formed by telex, the offer being telexed from London toAmsterdam, and vice versa.
The issue was whether the contract was formed inLondon or Amsterdam? The letter was delayed in the post. The claimant sued for breach of contract. HELD: There was a valid contract which came in to existence the moment theletter of acceptance was placed in the post box. This case established the postalrule.
This applies where post is the agreed form of communication between theparties and the letter of acceptance is correctly addressed and carries the rightpostage stamp. Clarke was arrested and questione and provided theinformation sought. He claimed the reward. The Government refused to pay him.
He sued for breach of contract. Even though he knew of the rewarhe only provided information to remove suspicion from himself. He would nothave provided the information but for this. Felthouse sued the auctioneer forconversion.
Bindley mistakenly sold the horse. A third party at the school informed P wasappointe without authority. HELD: Two identical offers are not the same as an offer and an acceptance.
Oneoffer has to be accepted. Now we have seen previously that an offer cannot be revoked after the offeror has communicated it to the offeree. Then the offer becomes binding, it creates legalrelations between the two parties. So when is the communication complete?
If the parties are talking face-to-face this is not a problem. So, in this case, the timeline of communication is important. Example if A tells B he will fix his roof for five thousand rupees, the communication is complete as soon as the words are spoken. Let us take the same example. A writes to B offering to fix his roof for five thousand rupees.
He posts the letter on 2nd July. So the communication is said to complete on 4thJuly. In this case of communication of acceptance , there are two factors to consider, the mode of acceptance and then the timing of it. Acceptance can be done in two ways, namely 1. As against the Offeror: For the proposer, the communication of the acceptance is complete when he puts such acceptance in the course of transmission. After this it is out of his hand to revoke such acceptance , so his communication will be completed then.
The IndianContract Act lays out the rules of revocation of an offer in Section 5. Once the acceptance is communicated to the proposer, revocation of the offer is now not possible. B gets the letter on 14th July. A accepts the offer and posts the letter on 10th July. But for B (the proposer) the acceptance has been communicated on 10th July itself. So the revocation of offer can only happen before the 10thof July.
Section also states that acceptance can be revoked until the communication of the acceptance is completed against the acceptor. No revocation of acceptance can happen after such date. Again from the above example, the communication of the acceptance is complete against A (acceptor) on 14th July.
So technically between 10th and 14thJuly, A can decide to revoke the acceptance. The acceptor can revoke the offer until the communication of the acceptance is complete against the said acceptor. Such communication is complete when the proposer receives the letter of acceptance. So in the time frame between posting the letter and the letter being received by the proposer, the acceptor can revoke the acceptance. Jackson must respond by certified mail.
If, however, the offer merely suggests a method or place of communication or is silent on so such. A proposal may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterwards. An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but no afterwards. Illustration-A proposes, by a letter sent by port, to sell his house to B. The communication of a proposal is complete when it becomes to the knowledge of the person to whom it is made.
B accepts the proposal by a letter sent by post. A may revoke his proposal at any time before or at the moment when B posts his letter of acceptanc. In order to convert a proposal into a promise the acceptance must-(1) be absolute and unqualified. Performance of the conditions of proposal, for the acceptance of any consideration for a reciprocal promise which may be offered with a proposal, is an acceptance of the proposal. In so far as the proposal or acceptance of any promise is made in words, the promise is said to be express.
In so far as such proposal or acceptance is made otherwise than in words, the promise is said to be implied. In the simplest of terms to revoke means ‘to cancel’. If I say ‘I revoke ’ I simply, mean that I take it back. Proposer makes an offer. Acceptor accepts the same and communicates the same to the proposer.
REVOCATION OF OFFER AND ACCEPTANCE. In some situations , eventhough the offeror has already made an offer to the offeree , he may changes his mind and decides to withdraw the offer. If the offer is validly revoked , there will be no contract created. Option Contract Created by Part Performance or Tender § 46.
Communication, acceptance and revocation of proposals. Revocation of General Offer § 48. Death or Incapacity of Offeror or Offeree § 50.
Interpretation of Contracts 8. Each contract requires an offer and acceptance of that offer.