Main essentials of a valid acceptance are mentioned below:
1. Acceptance must be given by the person to whom the proposal is made:
An acceptance to be valid must be given only by a person to whom offer has been given. In other words, acceptance must move from the offeree and no one else.
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2. Acceptance can be given only when the acceptor has the knowledge of the offer:
Acceptance therefore cannot be given without the knowledge of offer, as in case of Lalman Shukla v Gauri Dutt.
3. The acceptance must be absolute and unconditional:
It is another important essential element of a valid acceptance. A valid contract arises only if the acceptance is absolute and unconditional. It means that the acceptance should be in total (i.e. of all the terms of the offer), and without any condition.
Thus, an acceptance with a variation is no acceptance. It is simply a counter offer. A counter offer puts an end to the original offer, and it cannot be revived by subsequent acceptance.
4. The acceptance must be given within the time prescribed or within a reasonable time:
Sometimes, the time limit is fixed within which an acceptance is to be given. In such cases, the acceptance must be given within the fixed time limit. In case, no time is prescribed, the acceptance should be given within a reasonable time. The term ‘reasonable time’ depends upon the facts and circumstances of each case.
5. The acceptance must be given before the lapse of offer:
A valid contract can arise only when the acceptance is given before the offer has elapsed or withdrawn. An acceptance which is made after the withdrawal of the offer is invalid, and does not create any legal relationship.
6. The acceptance must be communicated:
It is an important and essential element of a valid acceptance. The definition of acceptance as given in Sec. 2(b) emphasises this requirement. According to this, the consent to the offer should be signified (i.e. indicated or declared).
ADVERTISEMENTS:
In other words, the acceptance is completed only when it has been communicated to the offeror. It may be noted that until the acceptance is communicated, it does not create any legal relations.
7. The acceptance must be communicated to the offer or himself:
A valid contract arises only if the acceptance is communicated to the offeror himself. If acceptance is communicated to the person, other than the offeror, it will not create any legal relationship. In fact, such communication is no communication at all.
8. The acceptance must be in the prescribed manner:
It is the legal rule of the acceptance that it must be accepted in the prescribed manner. If the offer is not accepted in the prescribed manner, then the offeror may reject the acceptance within reasonable time.
ADVERTISEMENTS:
It may, however, be noted that, if the offeror does not reject the acceptance within a reasonable time then he becomes bound by acceptance. [Sec. 7(2)]
9. The acceptance must be given in some usual and reasonable manner:
It is another important legal rule of an acceptance that where no mode is prescribed, acceptance must be given in some usual and reasonable manner. In such cases, the mail course is considered, a very reasonable manner.
10. The acceptance must show an intention that acceptor is willing to fulfil the terms of the offer:
A valid contract can arise only when the acceptance is given with the intention of fulfilling the terms of the contract. An acceptance which is made jokingly and without any intention of entering into a contract is invalid and does not create any legal relationship.
11. The acceptance may be express or implied:
An acceptance, which is expressed by words written or spoken, is called an express acceptance.
12. The acceptance cannot be presumed from silence:
Sometimes, the acceptor does not convey his decision to the offer or/and keeps silent. In such a case, his silence does not amount to acceptance. Similarly, the offeror does not have the legal rights to say that if no answer is received within a certain time, the offer shall be deemed to have been accepted.
He (the offeror) cannot impose a condition that offeree’s silence will be regarded as equivalent to acceptance.