Section 7 The Indian Contract Act, 1872
π Section 7 β Indian Contract Act, 1872
Title: "Acceptance must be absolute"
Text of Section 7:
βIn order to convert a proposal into a promise, the acceptance mustβ
be absolute and unqualified;
be expressed in some usual and reasonable manner, unless the proposer prescribes the manner in which it is to be accepted.
If the proposer prescribes a manner, and the acceptance is not made in that manner, the proposer may insist that his proposal shall be accepted in the prescribed manner; but if he fails to do so within a reasonable time after the acceptance is communicated to him, he accepts the acceptance.β**
β Essentials of a Valid Acceptance (Section 7):
Absolute and Unqualified
Acceptance should match the offer exactly.
Counter-offers or conditional acceptance = rejection of offer.
Proper Manner of Acceptance
If the offeror specifies a method, the offeree must follow it.
If not followed, the offeror must object within a reasonable time, or it is treated as accepted.
π Illustration:
A offers to sell his car to B for βΉ1,00,000.
B replies, "I will buy it for βΉ90,000." β This is not acceptance, but a counter-offer.
If B says, "I accept your offer of βΉ1,00,000" β This is valid acceptance under Section 7.
π§ββοΈ Case Law Example:
Felthouse v. Bindley (1862): Silence cannot be considered as acceptance.
Bhagwan Das v. Girdhari Lal & Co. (1966): Indian courts reaffirm that acceptance must be unambiguous and unconditional.
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