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CMA Foundation · Fundamentals of Business Laws and Business Communication · Performance of Contracts

Ritu agreed to deliver 50 cartons of a specified brand of tea to Sandeep's shop at 10 a.m. on 1 June. She arrived with the cartons but they were sealed in a closed truck, and she insisted that Sandeep pay first and not inspect them. Sandeep declined to take delivery. Which Section 38 condition is mainly not satisfied?

The unmet condition is that the promisee must have a reasonable opportunity of seeing that the thing offered is the thing the promisor is bound to deliver. Ritu refused inspection of the sealed cartons, so her offer is not a valid offer of performance under Section 38.

  1. AThe promisee must have a reasonable opportunity of seeing that the thing offered is what the promisor is bound to deliverCorrect
  2. BThe offer must be made in writing
  3. CThe promisor must first obtain the consent of all joint promisees
  4. DThe offer must be made through a registered agent

Explanation

Where the offer is to deliver something, Section 38(3) requires the promisee to have a reasonable opportunity of seeing that the thing offered is the thing contracted for. Ritu denied inspection, so this condition fails. Section 38 does not require writing or a registered agent.

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