PRIYANKA SINGH

 Offer is the starting point in the formation of

a contract. Sec 2 (A)
 When one person signifies to another his
willingness to do or to abstain from doing
anything with a view to obtaining the assent
to that other to such act or abstinence he is
said to make a proposal.
 It must be an expression of willingness to do.
 It must be made to another person .
 It must be definite.
 It must be communicated to the offeree.
 It must be capable to creating legal
relationship.
 It must be definite and Certain.
 A mere statement of intension is not an offer.
 An invitation to offer is not an offer.
 It must be communicated.
 It may be conditional.
 It may be express or implied.
 The offer may be Positive or negative
 Specific offer: A specific offer is one which is
made to an individual or a group of
individuals. Such an offer can be accepted by
a person or persons to whom it is addressed.
 Example :X made an offer to Y to sell his cycle
for Rs 1000. It is specific offer and only Y can
accept it.
 General offer: An offer is said to be a general offer
when it is addressed to an unascertained body of
individuals or to a public at large. A general offer
may be accepted by any person by performing the
conditions to offer. A person must have knowledge
of offer before performing it conditions.
 Example: X offered a reward Rs 500 to anyone who
will find his lost dog and brought it back to X. Thus,
Y is entitled to the reward as he had accepted the
offer by performing the conditions of offer.
 Standing offer: When a person offers to
another to continuously supply a certain
quantity of goods over a certain period and
at a definite rate ,then such an offer is known
as standing offer.
 Example: This kind of offer is useful for
supplying goods n a large quantities over a
definite period to big organizations like
Railways.
 Cross offer:
 A contract emerges from the acceptance of
an offer.
 Acceptance is the act of assenting by the
offeree to an offer .
 In other words, it is the manifestation by the
offeree of his willingness to be bound by
the terms of the offer.
 ‘when the offeree signifies his assent to the
offeror, the offer is said to be accepted.
 A proposal when accepted becomes a
promise sec 2(b).
 An acceptance may be express or implied.
 • It is express when it is communicated by
words, spoken or written or by doing some
required act.
 • It is implied when it is to be gathered from
the surrounding circumstances of the cases
or the conduct of the parties.
 Who can accept offer ?
 Acceptance of a particular offer:
 When an offer is made to a particular person,
it can only be accepted by him alone. If it is
accepted by any other person, there is no
valid acceptance.
 The rule of law is clear that if you propose to
make a contract with ‘A’, ‘B’ cannot
substitute himself for a A ‘ without your
consent
 The acceptance of an offer is the very essence of a
contract.
 To be legally effective, it must satisfy the following
conditions:
 • 1.It must be absolute and unconditional i.e., it must
 conform with the offer. Eg. Date of possession of
house, partial payment
 • 2.It must be communicated to the offeror
 Eg. A tells to marry C , but not informed to C
 It must be according to the mode prescribed or usual
and reasonable mode
 Eg. Telephone, letter
 .It must be given within a reasonable time.
 A contract by telephone is as good as oral contract
entered into between the parties in the presence of
each other.
 That offer an d acceptance must be audible, heard
and understood by the parties.
 Example :X makes and offer to Y by telephone, in
the middle of his reply, the line goes dead so that X
donot hear Y words of acceptance.
What will happen????
THANKS