CMA Foundation · Fundamentals of Business Laws and Business Communication · Essential Elements of a Contract, Offer and Acceptance
Under Section 8 of the Act, which of the following amounts to acceptance of a proposal?
Performance of the conditions of the proposal is an acceptance of it, as provided in Section 8. Silence, a mere inquiry or a counter-proposal does not amount to acceptance because acceptance must be absolute and unqualified.
- ASilence of the offeree for a reasonable period
- BPerformance of the conditions of the proposalCorrect
- CMere inquiry about the terms
- DMaking a counter-proposal
Explanation
Section 8 states that performance of the conditions of a proposal is an acceptance of it. Silence, inquiries and counter-proposals do not conclude a contract, and a counter-proposal is not an absolute acceptance under Section 7.
Did you get it right without looking?
One question tells you little. A timed set on Essential Elements of a Contract, Offer and Acceptance shows your real accuracy, how long you take and where you lose marks.
More Essential Elements of a Contract, Offer and Acceptance questions
- Mehta Traders sends Sharma Exports a proposal to sell 200 bags of rice at ₹2,000 per bag and says it must be accepted by a reply letter. Sha…
- Under Section 3 of the Indian Contract Act, 1872, the communication of a proposal, acceptance or revocation is deemed to be made by:
- Kapoor Textiles agreed to supply 500 metres of cloth to Desai Garments by 10 June. The parties did not intend time to be of the essence. Kap…
- Mehra Foods sends Joshi a proposal to supply 500 kg of spices. Joshi, intending to accept, simply decides in his mind to accept and does not…
- Anand Steel agrees to deliver 100 bales of cotton to Bhatia at Bhatia's warehouse on 1 March. Anand brings the cotton on the day, but Bhatia…
- Kumar offers to sell his van to Iyer and says the offer stays open for 10 days. Iyer has not accepted. Which of the following does NOT by it…