Indian Contract Act, 1872
4. Communication when complete
The communication of a proposal is complete when it becomes 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 at to be out of the power of the acceptor;
as against the acceptor, when it comes to the knowledge of the
proposer.
The communication of a revocation is complete-
as against the person who makes it, when it is put into a course
of transmission to the person to whom it is made, so as to be out of the power
of the person who makes it;
as against the person to whom it is made, when it comes to his
knowledge.
Illustrations
(a) A proposes, by letter, to sell a house to B at a certain
price.
The communication of the proposal is complete when B receives
the letter.
(b) B accepts A' s proposal by a letter sent by post.
The communication of the acceptance is complete.
as against A when the letter is posted;
as against B, when the letter is received by A.
(c) A revokes his proposal by telegram
The revocation is complete as against A when the telegram is
dispatched. It is complete as against B when B receives it.
B revokes his acceptance by telegram. B's revocation is complete
as against B when the telegram is dispatched, and as against A when it reaches
him.