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A, in an offer to sell a property, gave B the right to accept within 14 days. The next day at about…

Under section 4 of the Indian Contract Act, B's acceptance was complete against A when B posted it at 3.50 p.m., and A's revocation was complete against B only when it…

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A, in an offer to sell a property, gave B the right to accept within 14 days. The next day at about 3.50 p.m., B sent by post his letter of acceptance, which was received by A's office at 8.30 p.m. But before that at about 1 p.m., A had posted a letter revoking his offer. The revocation and the acceptance crossed in the course of post. B received the letter of revocation at 5.30 p.m.

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Correct answer B

Under section 4 of the Indian Contract Act, B's acceptance was complete against A when B posted it at 3.50 p.m., and A's revocation was complete against B only when it reached B at 5.30 p.m. Under section 5, a proposal may be revoked only before acceptance is complete against the proposer, so A's revocation came too late even though A posted it earlier, at 1 p.m. The revocation was not effective, and this is not a case of cross-offers.

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