Question

LEGAL PRINCIPLE: The acceptance of an offer will be valid only if it is made in the way it was expected to be made. FACTUAL SITUATION: There was a telephonic discussion between ‘J’ and ‘K’ for negotiating the sale of the shop of former to the latter. Upon reaching an agreement as to the price of the shop of ‘J’ at Rs 20 lakh, ‘J’ told ‘K’ to send a letter to him within two weeks confirming that she wishes to buy the shop for the price finalized. Two days thereafter, ‘K’ gave her acceptance to ‘J’ over telephone but sent the letter of confirmation after lapse of one month. Is ‘J’ bound by acceptance of ‘K’ ? DECISION: (Answer the question after reading the following paragraph.)

LEGAL PRINCIPLE: The acceptance of an offer will be valid only if it is made in the way it was expected to be made. FACTUAL SITUATION: There was a telephonic discussion between ‘J’ and ‘K’ for negotiating the sale of the shop of former to the latter. Upon reaching an agreement as to the price of the shop of ‘J’ at Rs 20 lakh, ‘J’ told ‘K’ to send a letter to him within two weeks confirming that she wishes to buy the shop for the price finalized. Two days thereafter, ‘K’ gave her acceptance to ‘J’ over telephone but sent the letter of confirmation after lapse of one month. Is ‘J’ bound by acceptance of ‘K’ ? DECISION: (Answer the question after reading the following paragraph.)

Direction: Given below is a statement of legal principle followed by a factual situation. Apply the principle to the facts given below and select the most appropriate answer.

Option A: Yes, because the acceptance was conveyed within two weeks over telephone and it was followed by a letter of acceptance as stipulated.
Option B: No, because although the acceptance over telephone was conveyed in time but not in the mode specified and the letter of acceptance was also not sent within two weeks.
Option C: No, because sale of immovable property cannot be finalized online; neither any acceptance can be given over phone. Hence, the entire negotiation is invalid.
Option D: Yes, because no law can compel the purchaser to give his acceptance through the mode prescribed by the vendor.

Correct Answer

Option: b

Explanation

Section 7 of the Indian Contract Act says that Acceptance must be absolute.

Sample Mock Tests for Practice

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