Indian Contract Act Section 5 — Revocation of proposals and acceptances

Summary

A proposal can be revoked at any time before the communication of its acceptance is complete as against the proposer, but not after that point. In other words, the person making the proposal can take it back only until the moment when the acceptance has become fully communicated to them; once that communication is complete, the proposal can no longer be revoked.

An acceptance can be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not after that point. This means the person accepting the proposal can withdraw their acceptance only until the moment when the acceptance has become fully communicated to them; once that communication is complete, the acceptance can no longer be revoked.

Official Text

A proposal may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterwards. An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards. Illustration

Related Judgments

• Ferro-Concrete Construction (India) Pvt Ltd & Ors vs State of Maharashtra & Ors — Bombay High Court (Mumbai Principal Seat) (2022)
• The Hon’ble Justice Debangsu Basak; And; The Hon’ble Justice Md. Shabb vs Rinku Majhi, With, COT 33 of 2024, Rinku Majhi, Vs., The Kolkata Munic — Calcutta High Court (Kolkata Principal Seat) (2024)
• NARAYANAN SANKARAN MOOSS vs THE STATE OF KERALA AND ANOTHER — Supreme Court of India (1973)
• LALIT KUMAR JAIN vs UNION OF INDIA & ORS — Supreme Court of India (2021)
• U.P. COOPERATIVE CANE UNION FEDERATION vs WEST U.P. SUGAR MILL ASSOCIATION AND ORS — Supreme Court of India (2004)
• BANK OF INDIA AND ORS. vs O.P. SWARANAKAR ETC — Supreme Court of India (2002)