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Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer?.

Solutions for Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.

Here you can find the meaning of Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer?, a detailed solution for Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Section 4 of the Indian Contract Act, 1872 reads as follows:Communication when complete - 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.Thus, the provision makes no difference in the position of the offeror. The offeror becomes bound when a properly addressed and adequately stamped letter of acceptance is posted. The acceptor does not become bound by merely posting his acceptance. He becomes bound only when his acceptance comes to the knowledge of the proposer. The contract is concluded at the place from where the proposal is accepted and communication of acceptance is dispatched, i.e., the address at which the proposal was sent. The court at that place would have jurisdiction to entertain a cause of action under the contract. This rule, that the communication of an acceptance is complete as against the proposer when the letter is posted, is probably intended to apply only when the parties are at a distance and they communicate by post. “Where, however, the parties are in each other’s presence or, though separated in space”, they are in direct communication, as, for example, by telephone, no contract will arise until the offeror receives the notification of acceptance.Q.‘S’ wanted to purchase shares of a company and communicated his offer to buy shares on March 1, 2021. A letter of allotment of shares addressed to ‘S’, which is an acceptance of the offer to purchase shares, was posted by the company on March 10, 2021, but the letter never reached ‘S’ and was lost in transit. In the given situation, which of the following statements is true?a)Communication of acceptance is not complete as against ‘S’ and hence, there is no valid contract between ‘S’ and the company.b)Communication of acceptance is complete as against ‘S’ however not complete as against the company.c)Communication of acceptance is complete as against the company however not complete as against ‘S’.d)Communication of acceptance is complete against both ‘S’ as well as the company.Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CLAT tests.