LEGAL PRINCIPLES: 1. Once a person accepts another’s offer, and signifies such acceptance to the former, a contract comes into existence between them. 2. Uncertain agreements are void agreements. 3. Rejected offers can be accepted only if renewed. FACTUAL SITUATION: Bakshi wanted to purchase a particular land. He sent a letter to his cousin, Dutt, offering him ? 4 lakhs for it. Dutt replied that he would not sell it below 5 lakhs. Bakshi communicated his willingness to pay this amount. Dutt did not sell the land to Bakshi. Bakshi sued him for breach of contract. 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: Dutt is liable because once he communicates an offer to Bakshi and Bakshi accepts it, a contract comes into existence.

Option B: Dutt is liable as he has misled Bakshi by his actions.

Option C: Dutt is not liable because he has rejected the offer by giving a counter offer which is also not specific.

Option D: Dutt is not liable as there is no legally enforceable contract

Correct Answer

Option: c

Explanation

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

Sample Mock Tests for Practice

THE HIMACHAL PRADESH COURTS ACT, 1976 (PAPER 01 Q. NO. 1 TO 23)

The Hindu Marriage Act, 1955 (Paper 02: Q. 26 TO 50)

THE CODE OF CIVIL PROCEDURE, 1908 (PAPER – 06 Q. NO. 201 TO 240)

THE CODE OF CRIMINAL PROCEDURE, 1973 (PAPER – 02 Q. NO. 41 TO 80)

THE CONSTITUTION OF INDIA, 1949 (PAPER – 10 Q. NO. 316 TO 350)

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THE JUVENILE JUSTICE (CARE AND PROTECTION OF CHILDREN) ACT, 2000 (PAPER 01 Q. NO. 1 TO 13)

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THE INDIAN CONTRACT ACT, 1872 (PAPER – 12 Q. NO. 386 TO 420)

THE CODE OF CIVIL PROCEDURE, 1908 (PAPER – 15 Q. NO. 561 TO 600)

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THE INDIAN CONTRACT ACT, 1872 (PAPER – 06 Q. NO. 176 TO 210)

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THE INDIAN CONTRACT ACT, 1872 (PAPER – 07 Q. NO. 211 TO 245)

THE CONSTITUTION OF INDIA, 1949 (PAPER – 18 Q. NO. 596 TO 623)

THE INDIAN CONTRACT ACT, 1872 (PAPER – 02 Q. NO. 36 TO 70)

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THE INDIAN CONTRACT ACT, 1872 (PAPER – 05 Q. NO. 141 TO 175)

THE CODE OF CRIMINAL PROCEDURE, 1973 (PAPER – 22 Q. NO. 841 TO 870)

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THE CHHATTISGARH LAND REVENUE CODE, 1959 (PAPER 01 Q. NO. 1 TO 11)

THE INDIAN CONTRACT ACT, 1872 (PAPER – 11 Q. NO. 351 TO 385)

THE LIMITATION ACT, 1963 (PAPER 03 Q. NO. 81 TO 120)

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THE INDIAN CONTRACT ACT, 1872 (PAPER – 17 Q. NO. 561 TO 595)

THE ARBITRATION AND CONCILIATION ACT, 1996 (PAPER 01 Q. NO. 1 TO 30)

THE TRADE MARKS ACT, 1999 (PAPER 01 Q. NO. 1 TO 8)

THE INDIAN CONTRACT ACT, 1872 (PAPER – 10 Q. NO. 316 TO 350)

THE LIMITATION ACT, 1963 (PAPER 02 Q. NO. 41 TO 80)