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

Which of the following is NOT a condition that Section 38 requires an offer of performance to fulfil?

Acceptance by the promisee in writing is not a condition of a valid offer of performance. Section 38 requires the offer to be unconditional, made at a proper time and place, and, for delivery, open to inspection, and it operates even when the offer is not accepted.

  1. AIt must be unconditional
  2. BIt must be made at a proper time and place so the promisee can ascertain that the promisor is able and willing there and then to perform the whole of his promise
  3. CIf it is an offer to deliver a thing, the promisee must have a reasonable opportunity of seeing that it is the thing the promisor is bound to deliver
  4. DIt must be accepted by the promisee in writing within a reasonable timeCorrect

Explanation

Section 38 lists three conditions: unconditional, proper time and place with a chance to ascertain ability and willingness, and a chance to inspect the thing offered. Acceptance in writing is not required, as the section deals precisely with the case where the offer is not accepted.

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