Question

When is the communication of a proposal complete?

• A. When it does not come to the knowledge of the person to whom it is made.
• B. When it comes to the knowledge of another person that some communication was made to the concerned person.
• C. When it comes to the knowledge of the person to whom it is not made.
• D. When it comes to the knowledge of the person to whom it is made.

Hint:

A proposal must be communicated to the offeree for it to be legally effective under the Indian Contract Act.

Answer 1

The Correct Option is D

Step 1: Refer to Section 4 of the Indian Contract Act, 1872. 
Communication of a proposal is said to be complete when it reaches the person to whom it is made. That is, when the offeree becomes aware of the offer. 
Step 2: Apply this principle. 
Only when the person to whom the proposal is made knows about it, can it be acted upon or accepted. Any other form of communication (e.g., to a third party or unknown to the offeree) is not valid. 
Conclusion: 
Therefore, the communication of a proposal is complete when it comes to the knowledge of the person to whom it is made.