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Question

In the case of Harvey v. Facey it was held that___________

A Mere reply of a query is not an acceptance Correct Answer Incorrect Answer
B If there is a reply of a query it is considered to be an acceptance an acceptance Correct Answer Incorrect Answer
C Acceptance is valid, if it is communicated to the offeror either by the offeree or by some duly authorized person Correct Answer Incorrect Answer
D Advertisement which contains certain terms to get a reward constituted a binding unilateral offer Correct Answer Incorrect Answer

Solution

It was observed by the Privy Council that there never existed an agreement between the parties to the case and it also stated that for a contract to be a valid one, a proposal and the acceptance of the proposal are needed so as to make the contract binding on the parties. Mere reply of a query is not an acceptance. Apart from this, the acceptance of the proposal must be notified to the individual who is making the proposal because a legally enforceable agreement requires certainty to hold from both the parties to the contract.

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