In the case of Bhagwandas Goverdhanda Kedia v Girdharlal Parshottamadas and Co, what was established about acceptance?
Understand the Problem
The question is asking about a legal case and what it established regarding the concept of acceptance in contract law. Specifically, it seeks to clarify the circumstances under which acceptance of an offer is considered valid.
Answer
The contract is concluded where acceptance is heard in a telephonic conversation.
The case established that when a contract is made by a telephonic conversation, the contract is concluded at the place where the acceptance of the offer is heard and communicated to the offeror.
Answer for screen readers
The case established that when a contract is made by a telephonic conversation, the contract is concluded at the place where the acceptance of the offer is heard and communicated to the offeror.
More Information
This decision is significant in contract law as it clarifies how and where acceptance is deemed to occur in contracts formed via instantaneous communication like telephone conversations.
Tips
A common mistake is thinking acceptance occurs where the offer is received rather than where it is heard.
Sources
- Bhagwandas Goverdhandas Kedia vs M/S. Girdharilal - indiankanoon.org
- Bhagwandas Govardhan Das Kedia vs Girdharilal ParshottamDas - blog.ipleaders.in
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