Q.53
Contract, Specific Relief, Property & NI Act Medium Knowledge-Based

As per the Indian Contract Act, 1872, an acceptance must be absolute and un- qualified. What is the legal effect if an offeree’s response to a proposal introduces 38 a new term ?

A It becomes a valid acceptance, and the new term is incorporated as a mere suggestion.
B It operates as a valid acceptance if the new term is not a material alteration.
It constitutes a counter-proposal, thereby rejecting the original proposal. Answer
D It suspends the original proposal until the new term is accepted or rejected by the proposer.
📋

Explanation & Strategy

Click any section to expand · only one open at a time

Under Section 7 of the Indian Contract Act, acceptance must be absolute and unqualified. If the acceptor introduces a new term or condition, it does NOT constitute valid acceptance — instead, it operates as a COUNTER-PROPOSAL, which destroys the original offer entirely. The original proposer is then free to accept or reject this counter-proposal.

At a Glance
Subject Contract, Specific Relief, Property & NI Act
Difficulty Medium
Answer (C) Knowledge-Based
Paper AIBE XX — November 2025
Progress in Paper
Q.53 100 questions

53% through paper