Offer
Proposal is defined under section 2(a) of the Indian contract Act, 1872 as "when one person signifies to another his willingness to do or to abstain from doing anything with a view to obtain the assent of that other to such act or abstinence, he is said to make a proposal/offer". Thus, for a valid offer,the party making it must express his willingness to do or not to do something. But mere expression of willingness does not constitute an offer. An offer should be made to obtain the assent of the other. The offer should be communicated to the offeree and it should not contain a term the non compliance of which would amount to acceptance.
Classification of Offer
1. General Offer: Which is made to public in general.
2. Special Offer: Which is made to a definite person.
3. Cross Offer: Exchange of identical offer in ignorance of each other.
4. Counter Offer: Modification and Variation of Original offer.
5. Standing, Open or Continuing Offer: Which is open for a specific period of time. The offer must be distinguished from an invitation to offer. Invitation to offer "An invitation to offer" is only a circulation of an invitation to make an offer, it is an attempt to induce offers and precedes a definite offer. Acceptance of an invitation to an offer does not result in formation of a contract and only an offer emerges in the process of negotiation. A statement made by a person who does not intend to bound by it but, intends to further act, is an invitation to offer.
Read more about this topic: Indian Contract Act 1872
Famous quotes containing the word offer:
“There are people who want to make men’s lives more difficult for no other reason than the chance it provides them afterwards to offer their prescription for alleviating life—their Christianity, for instance.”
—Friedrich Nietzsche (1844–1900)
“The bosses of our mass media, press, radio, film and television, succeed in their aim of taking our minds off disaster. Thus, the distraction they offer demands the antidote of maximum concentration on disaster.”
—Ernst Fischer (1899–1972)
“I have nothing to offer but blood, toil, tears and sweat.”
—Winston Churchill (1874–1965)