ICA Section 38: Effect of refusal to accept offer of performance
Indian Contract Act, 1872 · Chapter 4: Performance of Contracts
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38. Effect of refusal to accept offer of performance . Where a promisor has made an offer of performance to the promisee, and the offer has not been accepted, the promisor is not responsible for non-performance, nor does he thereby lose his rights under the contract.
Every such offer must fulfill the following conditions:-
(1) it must be unconditional;
(2) it must be made at a proper time and place, and under such circumstances that the person to whom it is made may have a reasonable opportunity of ascertaining that the person by whom it is made is able and willing there and then to do the whole of what he is bound by his promise to do
(3) if the offer is an offer to deliver anything to the promisee, the promisee must have a reasonable opportunity of seeing that the thing offered is the thing which the promisor is bound by his promise to deliver. An offer to one of several joint promisees has the same legal consequences as an offer to all of them,
Illustration
A contracts to deliver to B at his warehouse, on the 1st March, 1873,100 bales of cotton of a particular quality. In order to make an offer of a performance with the effect stated in this section, A must bring the cotton to B's warehouse, on the appointed day, under such circumstances that B may have a reasonable opportunity of satisfying himself that the thing offered is cotton of the quality contracted for, and that there are 100 bales.
Official reference: India Code, Legislative Department — checked: 29 September 2026.
This text is for reference, not legal advice. Consult the official source for the authoritative text.
Other sections in this chapter
- 37. Obligation of parties to contracts
- 39. Effect of refusal of party to perform promise wholly
- 40. Person by whom promise is to be performed
- 41. Effect of accepting performance from third person
- 42. Devolution of joint liabilities
- 43. Any one of joint promisors may be compelled to perform
- 44. Effect of release of one joint promisor
- 45. Devolution of joint rights
- 46. Time for performance of promise, when no application is to be made and no time is specified
- 47. Time and place for performance of promise, where time is specified and no application to be made
- 48. Application for performance on certain day to be at proper time and place
- 49. Place for performance of promise, where no application to be made and no place fixed for performance
- 50. Performance in manner or at time prescribed or sanctioned by promisee
- 51. Promisor not bound to perform, unless reciprocal promisee ready and willing to perform
- 52. Order of performance of reciprocal promises
- 53. Liability of party preventing event on which the contract is to take effect
- 54. Effect of default as to that promise which should be first performed, in contract consisting of reciprocal promises
- 55. Effect of failure to perform at fixed time, in contract in which time is essential
- 56. Agreement to do impossible act. An agreement to do an act impossible in itself is void. Contract to do act afterwards becoming impossible or unlawful
- 57. Reciprocal promise to do things legal and also other things illegal
- 58. Alternative promise, one branch being illegal
- 59. Application of payment where debt to be discharged is indicated
- 60. Application of payment where debt to be discharged is not indicated
- 61. Application of payment where neither party appropriates
- 62. Effect of novation, rescission, and alteration of contract
- 63. Promisee may dispense with or remit performance of promise
- 64. Consequences of rescission of voidable contract
- 65. Obligation of person who has received advantage under void agreement, or contract that becomes void
- 66. Mode of communicating or revoking rescission of voidable contract
- 67. Effect of neglect of promisee to afford promisor reasonable facilities for performance