Alfred Schonlank v Muthunayna Chetti
Summary of Facts: The defendant left an offer to sell a
quantity of indigo at the plaintiff's office allowing him eight days time to
give his acceptance. The defendant then revoked his offer on the fourth day and
plaintiff accepted it on the fifth day. The plaintiff files the suit for the specific
performance of the contract.
Issues: Whether an offer with an option to accept within a
fixed period could be withdrawn before the expiry of that period?
Holding: An offeror can withdraw an offer with an option
to accept within a fixed period before the expiry of that period if the offeree
has not accepted the offer before it is withdrawn.
Rationale: The court observed that the acceptance is useless
as both on principle and on authority it is clear that there is no consideration
for the promise to keep the offer open for a time once it is withdrawn.
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