In Carlil v. Carbolic Smoke Ball Co. 1893, the court held that while an offer is generally made to the general public, any person with knowledge of the offer may come forward and accept the offer by doing what the offer requires. Meeting the requirements of a general offer would constitute valid acceptance of that offer. In accordance with Article 7(b), acceptance must be made in the prescribed manner and within the time prescribed by the addressee. In addition, it must be expressed in a prescribed manner. If no prescribed manner is described, it must be expressed in the usual and reasonable manner, that is, as would be the case in the ordinary course of business. Implicit acceptance can also be given through behavior, action, etc. Acceptance must generally be communicated to the supplier. In general, silence cannot be considered acceptance. If an offer is made, but the other party performs the actions required in the offer without knowing that the offer will be made, acceptance of the offer is not even possible. For an acceptance to take place, it is necessary for the offeree to have knowledge of the offer, but if the addressee, without knowing the offer, performs certain actions prescribed in the offer, this also does not constitute a valid acceptance.
Here are the six essential elements of a valid contract. This traditional approach to procurement has been modified by the evolution of the law of estoppel, deceptive conduct, misrepresentation, unjust enrichment and the power to accept. To give a complete picture of what constitutes a valid contract, this article covers two important areas of contract law: (A) the essential elements of a contract and (B) the binding contract. A contract is illegal if it relates to an illegal purpose. For example, a murder contract or a tax office fraud contract is both illegal and unenforceable. The first step in a contract is when one person makes an offer before another and the other person gives consent. The granting of consent usually shows acceptance. Acceptance is an essential part of a contract. Without acceptance of an offer, a contract cannot be concluded. To enter into a valid contract, there must be a valid offer and the offer must be accepted by the recipient.
The assumption must be valid, i.e.: This must be done voluntarily and the consenting person must be able to give consent. However, if the tenderer does not insist on the manner in which the tender has been accepted by other means, it shall be presumed that he has accepted that acceptance. This is another important essential element of a valid acceptance. A valid contract is only concluded if acceptance is absolute and unconditional. This means that the acceptance must be global (i.e. all the conditions of the offer) and without any conditions. In Winn v. Bull, 1877, however, acceptance was made on the condition „subject to a formal treaty“. Since the assumption was not absolute and there was a condition of acceptance, it was an invalid acceptance.
Acceptance of validity may only be given by a person to whom an offer has been submitted. In other words, acceptance must come from the recipient and no one else. As the definition indicates, if the beneficiary to whom the proposal is submitted accepts the offer unconditionally, this is equivalent to acceptance. Once such an offer is accepted, the offer becomes a promise. In addition, some contracts may be unenforceable because they are immoral and contrary to public policy. For example, contracts for sexual services may be unenforceable or even illegal in some jurisdictions: this occurs when the recipient to whom the proposal is submitted makes a change to the initial offer. The change could be to introduce new conditions in the proposal or to impose additional conditions. Any modification of the original proposal invalidates the entire proposal and thus becomes a new offer. It is now up to the original supplier to accept or reject the counter-offer. If the proposal is adopted and becomes a proposal, it will also become irrevocable. An offer does not create any legal obligation, but once the offer is accepted, it becomes a promise.
And a promise is irrevocable because it creates legal obligations between the parties. An offer can be revoked before it is accepted. But once the acceptance has been communicated, it cannot be revoked or revoked. A contract is valid and legally binding as long as the following six essential elements are present: Follow us on Instagram and subscribe to our YouTube channel for more amazing legal content. Acceptance must be unconditional and absolute. There can be no conditional acceptance, which would amount to a counter-offer cancelling the initial offer. Let`s take an example. A proposes to sell his bike to B for 2000/-.
B says he will accept if A sells it for 1500/-. This does not mean that the offer will be accepted, it is considered a counter-offer. Simply put, in order to establish a valid contract, acceptance of the offer is unconditional. Another important legal rule is the presumption that, if no manner is prescribed, acceptance must be customary and reasonable. In such cases, the postal rate is taken into account, in a very reasonable way. In UBA v. Tejumola and Sons, 1988, the appellant applied to the respondent for a lease, which has however been provided „at present“. Both parties agreed, but the complainant subsequently withdrew from the agreement. The defendant brought an action for breach of contract and won in the High Court.
The case was brought before the Supreme Court, which overturned the Supreme Court`s decision, finding that the presence of the term „object of the contract“ constitutes a conditional presumption, so that both parties are still at the negotiation stage. Therefore, neither party is bound by any legal obligation and is not free to terminate the contract. You may be wondering: What is an acceptance in contract law? In general, acceptance means giving consent and accepting the terms of the other person`s offer. The meaning of acceptance in Hindi is „स्वीकार करणे“. The purpose of the mailbox rule is to help a court decide which claim is valid if the notice of acceptance and revocation is not immediate. [41] According to the letterbox rule, the acceptance of an offer by the addressee applies as soon as he sends it. [42] Once a target accepts the offer, it cannot withdraw the offer.