Скачать или смотреть lecture 10 communication of revocation and mode of revocation under contract act 1872

MODES OF REVOCATION / LAPSE OF OFFER [ SECTION- 6]
Lapse means comes to an end. An offer may come to an end before it is accepted. Section 6 lays down the circumstances when an offer would lapse. Section-6 deals with various modes of
revocation of offer, these cases are as follows:
1. By communication of the notice of revocation: An offer may be revoked by the communication of the notice of revocation. It may be revoked only before its acceptance is complete.
as against the offeror. The acceptance is complete as against the offeror when the letter of acceptance is put in transmission to him. Notice of revocation will take effect only when it comes to the knowledge of the offeree.
2. By lapse of specified time: If time is mentioned in the offer for its acceptance, it is revoked by the lapse of time. If no time is mentioned then it lapses on the expiry of reasonable time. Example: M applied for shares of a company in June. Allotment was made in November. It was held that the offer had lapsed, because period of five months was not a reasonable time. So, M couldnot be treated as shareholder of the company.
3. By the failure of the acceptor to fulfil a condition precedent to the acceptance: An offer
lapses if the offeree fails to fulfil a condition precedent to the acceptance. Example: A offers to sell his car to B for a sum of ` 10,000 provided B sends an advance of ` 500 with his acceptance. B accepts the offer but does not send the advance. The offer may be taken as revoked.
4. By the death or insanity of the proposer: The death of the proposer puts an end to the offer, provided the fact of death or insanity comes to the knowledge of the acceptor before acceptance. If the proposer dies after the acceptance of the offer, the legal representatives of the proposer shall be bound by the contract. The acceptance of an offer in ignorance of
5. By making Counter offer: A counter offer also amounts to a revocation of the original
offer.
6. Non-acceptance in the mode prescribed: If an offer is not accepted according to the mode prescribed it will lapse provided the offeror gives notice for the offeree that the acceptance is not according to the prescribed mode.
7. By rejection of offer by the offeree: Where, the offeree rejects the offer, the offer comes to an end. Once the offeree rejects the offer, he cannot revive the offer by subsequently attempting to accept it. The rejection of offer may be express or implied.
8. By change in law: Sometimes, there is a change in law which makes the offer illegal or incapable of performance. In such cases also, the offer comes to an end.
The rules of contract by post may be summarised as follows:-
(i) An offer is made only when it reaches to the offeree and not before.
(ii) An acceptance is complete when the letter of acceptance is put in the course of transmission, so as to be out of the control of acceptor. If the letter of acceptance is properly addressed, stamped and posted, it is immaterial whether it reaches the offeror or not. Loss of letter in the post, late delivery or miscarriage etc. will not affect the validity of
(iii) An offer may be revoked before the letter containing the acceptance is posted and not thereafter.
(iv) An acceptance may be revoked before, it reaches the offeror. But the acceptor will be bound by his acceptance only when the letter of acceptance has reached the proposer.
In English law an acceptance cannot be revoked, once the letter of acceptance is properly posted, the contract is concluded for both the parties.