BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -An offer does not create any legal obligations, but after the offer is accepted it becomes a promise. And a promise is irrevocable because it creates legal obligations between parties. An offer can be revoked before it is accepted.

Detailed explanation-2: -The Indian Contract Act 1872 defines acceptance in Section 2 (b) as “When the person to whom the proposal is made signifies his assent thereto, the offer is said to be accepted. Thus the proposal when accepted becomes a promise.” An offer can be revoked before it is accepted.

Detailed explanation-3: -An accepted and signed business proposal is not a contract if the signature was appended for discussion purposes. Such a proposal cannot be enforced by law since it doesn’t contain the following elements: Mutual assent. Consideration.