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Unit 2: Offer and Acceptance
6. Comment: (i) “Acceptance must be absolute and qualified”? (ii) “A mere mental acceptance Notes
is no acceptance”. (iii) “Acceptance must be according to the mode prescribed by the
offeror”? (iv) “A mere mental acceptance not evidenced by words or conduct is in the eye
of law no acceptance”.
7. Discuss the rules regarding communication of offer and acceptance.
8. “A stranger to a contract cannot maintain a suit”. Discuss.
Answers: Self Assessment
1. implied 2. prospective shareholder
3. Acceptance 4. decline
5. contingent contract 6. ‘Quasi Contracts’
7. claim 8. payment of money
9. non-gratuitous 10. ‘quantum meruit’
2.13 Further Readings
Books G. Vijayaragavan Iyengar (2007), Introduction to Banking, Excel Books, New Delhi,
India.
S .S Gulshan, Business Law, Third Edition, 2006, Excel Books, New Delhi.
S.S Gulshan, Mercantile Law, Third Edition, 2006, Excel Books, New Delhi.
Online links http://lawcommissionofi ndia.nic.in/1-50/Report13.pdf
http://business.gov.in/manage_business/contract_law.php
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