Question

The communication of a proposal is considered complete when it is

• A. Accepted by the intended recipient
• B. Is in course of transmission
• C. Sent by the proposer
• D. Comes to the knowledge of the intended recipient

Hint:

For a valid contract, the proposal must come to the knowledge of the other party — mere sending is not enough.

Answer 1

The Correct Option is D

According to Section 4 of the Indian Contract Act, 1872, the communication of a proposal is said to be complete when it comes to the knowledge of the person to whom it is made.
This means that even if a proposal is sent, it is not effective unless the receiver becomes aware of it.
Illustration:
If A posts a letter of proposal to B, the proposal is complete only when B receives and reads the letter.