What is the word OFFER and its rules?

An offer is a kind of promise between the parties, which depends on a certain act/forbearance given. In other words, an offer is an invitation to enter into a contract with certain terms.

According to the Section 2 (a) of Indian Contract Act, “An offer is defined as, when one person signifies to another about his willingness to do or to abstain from doing anything with a view to obtaining the assent of that other to such act or business, he is said to make a proposal”.

Here,

• Offeror/propose is a party making an offer to others.

• Offeree/propose is a party to whom an offer has been made.

Types of OFFER

The types of offer are discussed below −

• Express offer − An offer done through words (either oral or written).

• Implied offer − An offer conveyed through signs/acting.

• General offer − An offer made to the public.

• Specific offer − An offer made to a particular/specified person or group.

• Cross offer − Both parties make similar offers to each other without knowing.

• Counter offer − An offer made subject to modifications of an original offer.

• Standing offer − An offer is continuous.

Rules of OFFER

The rules of offer are explained below −

• Legal relationship is created between the parties.

• Terms and conditions of an offer must be clear and certain.

• Declaration of intention should be given.

• Communication between parties should be clear.

• Offeror should not pressurize the Offeree.