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UPSC MainsLAW-PAPER-II201610 Marks150 Words
Q15.

An offer is to an acceptance what a lighted match-stick is to a train of gunpowder. It produces something which cannot be recalled or undone" - Anson. Explain.

How to Approach

This question requires an understanding of the legal concept of offer and acceptance, and the irrevocability of acceptance. The answer should explain Anson’s analogy, highlighting the point of no return once an acceptance is communicated. Focus on the consequences of acceptance – creating a binding contract – and the inability to retract it. Structure the answer by first defining offer and acceptance, then elaborating on Anson’s statement with examples, and finally, discussing the legal implications of a valid acceptance.

Model Answer

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Introduction

In the realm of contract law, the foundation of any legally binding agreement lies in the principles of offer and acceptance. An ‘offer’ is a definite promise to be bound on specified terms, while ‘acceptance’ is the unqualified assent to the terms of the offer. Sir William Anson, a renowned jurist, aptly described the relationship between an offer and acceptance with the analogy of a lighted match-stick to a train of gunpowder. This statement underscores the irreversible nature of acceptance and its immediate consequences in creating a contractual obligation. This answer will delve into the meaning of this analogy and its implications within the legal framework of contract law.

Understanding Offer and Acceptance

Before dissecting Anson’s statement, it’s crucial to understand the core concepts. An offer, to be valid, must be communicated, capable of acceptance, and not vague or indefinite. Acceptance, similarly, must be absolute, unconditional, and communicated to the offeror. Once acceptance is communicated, a binding contract is formed.

Anson’s Analogy: A Point of No Return

Anson’s analogy illustrates that just as lighting a match-stick initiates an unstoppable chain reaction in a gunpowder train, acceptance irrevocably sets in motion the consequences of a contract. The moment acceptance is communicated, the offeror is bound by the agreement, and neither party can unilaterally withdraw from it. The acceptance acts as the ‘lighted match-stick’, triggering a series of legal obligations.

Irrevocability of Acceptance

The irrevocability of acceptance is a cornerstone of contract law. Once acceptance is communicated, it cannot be retracted or revoked by the acceptor. This principle is rooted in the need for certainty and stability in contractual relationships. Several legal principles support this:

  • Communication of Acceptance: Acceptance is complete when it is communicated to the offeror (Section 4 of the Indian Contract Act, 1872).
  • Postal Rule: In cases of acceptance by post, acceptance is deemed complete as soon as the letter of acceptance is posted, even if it is delayed or lost in transit (Adams v Lindsell, 1818).
  • No Revocation: An acceptor cannot revoke their acceptance once it has been communicated.

Illustrative Examples

Consider a scenario where A offers to sell their car to B for ₹5 lakhs. B accepts the offer via email. The moment B’s email reaches A, a binding contract is formed. B cannot then claim they changed their mind and refuse to buy the car, nor can A withdraw the offer. This is akin to the gunpowder train being ignited – the process is irreversible.

Legal Consequences of Valid Acceptance

A valid acceptance creates several legal consequences:

  • Binding Contract: A legally enforceable contract comes into existence.
  • Obligation to Perform: Both parties are legally obligated to fulfill their respective promises outlined in the contract.
  • Remedies for Breach: If either party fails to perform their obligations, the other party can seek legal remedies, such as damages or specific performance.

Exceptions to the Rule

While generally irrevocable, acceptance can be invalidated under certain circumstances, such as mistake (Section 14 of the Indian Contract Act, 1872), misrepresentation, or coercion. However, these exceptions do not negate the fundamental principle that a communicated acceptance is generally binding.

Conclusion

In conclusion, Anson’s analogy powerfully illustrates the irreversible nature of acceptance in contract law. The moment acceptance is communicated, it acts as a catalyst, creating a binding agreement with significant legal consequences. The principle of irrevocability ensures certainty and stability in commercial transactions, fostering trust and predictability. While exceptions exist, the fundamental rule remains: acceptance, once communicated, is akin to a lighted match-stick igniting a train of gunpowder – a process that cannot be easily undone.

Answer Length

This is a comprehensive model answer for learning purposes and may exceed the word limit. In the exam, always adhere to the prescribed word count.

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Additional Resources

Key Definitions

Offer
A definite promise to be bound on specified terms, made with the intention that it shall become binding upon acceptance by the person to whom it is addressed.
Acceptance
The unqualified and absolute assent to all the terms of the offer, communicated by the offeree to the offeror.

Key Statistics

According to the World Bank’s Doing Business report 2020, India ranked 63rd in enforcing contracts, indicating improvements in the efficiency of the legal system.

Source: World Bank, Doing Business 2020

The number of commercial disputes referred to arbitration in India has been steadily increasing, with over 40,000 cases filed in 2022.

Source: National Centre for Alternative Dispute Resolution (NCADR) - data as of knowledge cutoff 2023

Examples

Carlill v Carbolic Smoke Ball Co. (1893)

This landmark case established the principle that an offer can be made to the world at large and accepted by anyone who performs the conditions specified in the offer. The company advertised a reward for anyone who contracted influenza after using their smoke ball, and Mrs. Carlill successfully claimed the reward after contracting influenza.

Balfour v Balfour (1919)

This case highlighted that agreements made between family members are generally not considered legally binding contracts due to the lack of intention to create legal relations.

Frequently Asked Questions

▶What happens if the acceptance is not communicated?

Acceptance is not complete until it is communicated to the offeror. Silence does not generally constitute acceptance, unless there is a prior agreement or established course of dealing indicating otherwise.

▶Can an offer be revoked before acceptance?

Generally, an offer can be revoked before acceptance, but the revocation must be communicated to the offeree. However, if consideration has been given for keeping the offer open for a specific period, it cannot be revoked during that period.

Topics Covered

LawContract LawAgreementOffer
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