Section 4 - Communication when complete : Indian Contract Act 1872

Communication when complete? Section 4 of Indian Contract Act 1872


 

Section 4 of Indian Contract Act 1872 : "Communication when complete"

4. The communication of a proposal is complete when it comes to the knowledge of the person to whom it is made.

The communication of an acceptance is complete,-

as against the proposer, when it is put in a course of transmission to him, so as to be out of the power of the acceptor;

as against the acceptor, when it comes to the knowledge of the proposer.

The communication of a revocation is complete,-

as against the person who makes it, when it is put into a course of transmission to the person to whom it is made, so as to be out of the power of the person who makes it;

as against the person to whom it is made, when it comes to his knowledge.

Illustrations
(a) A proposes, by letter, to sell a house to B at a certain price.

The communication of the proposal is complete when B receives the letter;

(b) B accepts A's proposal by a letter sent by post.

The communication of the acceptance is complete,-

as against A, when the letter is posted;

as against B, when the letter is received by A.

(c) A revokes his proposal by telegram.

The revocation is complete as against A when the telegram is despatched.

It is complete as against B when B receives it.

B revokes his acceptance by telegram. B's revocation is complete as against B when the telegram is despatched, and as against A when it reaches him.