CONTRACT

CHAPTER 1
LAW OF CONTRACT
ALIZAH ALI
UITM JOHOR
At the end of the class, student will able to
understand the topics as follows;
oDefinition of Contract
oElement of Contracts
oDischarge of Contract
oRemedies
alizahali
Definition
1 of Contract
1. →Agreement
→between 2 or more persons
→ legally binding between them
2. Section 2(h) of Contract Act 1950;

“An agreement enforceable by law is a contract”
Contract vs Agrement
“ALL CONTRACTS ARE AGREEMENTS

BUT
not ALL AGREEMENTS ARE CONTRACTS”
Elements
2 of Contract
◼Offer
◼Acceptance
◼Consideration
◼Capacity
◼Intention to Create Legal Relation
◼Certainty
◼Free consent
Question….
What will happen if one of the element is not

there?
How To Form a Contract
ORAL
CONTRACT
IMPLIED-
WRITING CONDUCT
Element no 1: OFFER
At the end of this chapter, student will be able to
understand …
1. Definition of offer
2. How Offer Could Be Made
3. Types of Offer
4. Conditions of Offer
5. Offer vs ITT
1. Definition of Offer
Sect 2(a) of Contract Act 1950
• “when one person signifies to another his willingness to do …

anything, with a view to obtaining the assent of that person …
he is said to make a PROPOSAL”
1. Definition of Offer
Sect 2(a) of Contract Act 1950
promise/agreement/proposal
OFFER made by offeror
to offeree
with intention
to create legal relation
2. How Offer Could Be Made
Making the Offer
Sect. 9 of Contract Act 1950
express implied
writing verbal conduct

3. Types of Offer
2.2 Types of Offer
Types of Offer
Specific Offer General Offer

Boulton vs Jones Carlill vs Carbolic
Small Ball Company
=
OFFER MUST BE
OFFER MUST BE CERTAIN
COMMUNICATED
• Certain = • Section 2(a) CA 1950 :
clear/complete/final/detail “signifies”
→ to avoid doubt • Section 4(1) CA 1950 :
• Case : GUTHING VS LYNN when the communication
of offer is complete
• Case : TAYLOR vs LAIRD
X communication → X offer → X acceptance
= X Contract
X communication → X offer → √ acceptance (coincident)
= X Contract R vs Clarke
5. Offer vs Invitation To Treat
• Definition of ITT
Pre-liminary communication
Between the parties
At the stage of negotiation
Which might lead to an offer

• Invitation To Treat
→ Merely invitation
→ Early stage before an offer could be made
• The difference
→ When the actual offer take place
offer Invitation to treat
• A does something • A does something

with intention to with intention to
make an ITT
make an offer (to (advertise to sell a
sell a pen) pen)
• if B accept such • If B respond such
offer → * A is bind to sell invitation → * B is make
the pen. an offer
* A has no
duty to sell
the pen.
5. Offer vs Invitation To Treat (EXAMPLE)
Display of goods
advertisement in self service tender
shop
Quotation/price
auction
list
Invitation To Treat - ADVERTISEMENT
• Definition of advertisement
Invitation to attract people’s interest to make an offer
• Concept of ITT
= making ITT / X offeror advertise the adertisement
advertisor
offeror
= the one who read/saw/notice the advertisement
= making acceptance by responding the offer

advertisor
• Cases
1. HARRIS vs NICKERSON
2. COELHO vs PUBLIC SERVICES

COMMISSIONER
• Exception
Another
+
Advertisement =
offer/promise/ OFFER
reward
CARLILL vs CARBOLIC SMOKE BALL COMPANY

Invitation To Treat – DISPLAY OF GOODS IN SELF
SERVICE SHOP
• Definition of display of goods in self service shop
goods with a tag price display in shelve of self service shop
• Concept of ITT
= making
seller ITT / X offeror display the goods in the shelve
= customer
the one who select the goods – bring to the counter – pay
seller
= making acceptance accept payment
SERVICE SHOP
• As long as the SELLER not make any acceptance, the CUSTOMER can
withdraw his OFFER at ANYTIME before the SELLER

make an acceptance by receive the payment.
SERVICE SHOP
PHARMACEUTICAL
SOCIETY vs BOOTS FISHER vs BELL
CASH CHEMIST LTD
• Court held: • Court held: display
• 1.display of goods is of several flick
ITT knives in a glass
• 2.concept of ITT shop window is ITT
Invitation To Treat – TENDER
• Concept of ITT
government
= making ITT / X offeror
produce the notice = the one
contractor
who read/saw/notice
the tender
= making acceptance
government
by choosing the contractor
Invitation To Treat – TENDER
• Case
• SPENSER VS HARDING
Discretion power to choose the offerror / contractor for the project
tendered
Invitation To Treat –
QUOTATION / PRICE LIST
• Definition of quotation
early information which gives opportunity to the BUYER to choose the
best price according to the list
• Concept of ITT
seller = making ITT / X offeror list the prices
offerror
= the one who read/saw/notice the price
by choosing the selective package
seller = making acceptance

by responding the offerror
QUOTATION / PRICE LIST
• Case
1. HARVEY VS FACEY
Quotation via telegram
Bumper Hall Pen £900
2. PRESTON CORP vs EDWARD LEONG

Quotation/listing price of
printing machine
AUCTIONEER INVITING BIDS
• Situation
when the auctioneer requests bids and inviting the assembly of bidders to make
an offer
• Concept of ITT
auctioneer = making ITT / X offeror
invite the bidders
bidders = the one who bid the price
auctioneer
= making acceptance
by accepting the highest price made by bidder
AUCTIONEER INVITING BIDS
• Section 10 of the Auction Sales Act
“A sale by public auction shall be completed when the auctioneer
announces its completion by the fall of the hammer..”
Thank You
Element no 2: ACCEPTANCE
1. Definition Of Acceptance
2. Conditions of Acceptance
3. Modes of Acceptance
4. Exception of Communication
of Acceptance
1. Definition of Acceptance
Sect 2(b) of Contract Act 1950
• “when the person to whom the proposal is made signifies

his assent thereto, the proposal is said to be
ACCEPTED. A proposal when accepted become a
PROMISE”
1. Definition of Acceptance
Sect 2(b) of Contract Act 1950
ACCEPTANCE
If the offeree agrees/accepts
The offer
Made by the offerror

MUST BE ABSOLUTE & Sect 7(a) CA 1950

UNQUALIFIED
Conditions of
Acceptance MUST BE
COMMUNICATED
Sect 7(b) CA 1950
IN USUAL &
REASONABLE MANNER
• 1. MUST BE ABSOLUTE & UNQUALIFIED
Sect 7(a) CA 1950
“…the acceptance must be absolute and unqualified..”
→ without any condition
→ without any modification
→ must be the exactly on the same term of the
offer
… …→ Counter offer
1. MUST BE ABSOLUTE & UNQUALIFIED– ACCEPTANCE VS
COUNTER OFFER
• = rejection of the original offer
Counter offer = not valid as acceptance
• HYDE vs WRENCH
£ 1000
£ 950
If the OferrOR agrees with the

EXCEPTION
counter offer
▪ ORIGINAL terms will become VOID

▪ NEW CONTRACTUAL terms will be applied
1. MUST BE ABSOLUTE & UNQUALIFIED
ACCEPTANCE VS REQUEST 4 FURTHER INFORMATION
Counter offer
Request for further
≠ information
• Rejection of the original offer

• Not acceptance
• The original offer is still open
STEVENSON JAQUES vs McLEAN

→ 1 tan = 40s
• 2. MUST BE COMMUNICATED IN USUAL & REASONABLE MANNER
Sect 7(b) CA 1950
“…the acceptance must… be expresses in some usual and reasonable
manner, unless the proposal presribes the manner in which it is
to be accepted”
MUST BE COMMUNICATED IN USUAL &
REASONABLE MANNER
→ If the offerOR
→Use any method prescribes mode of
→not cause delay acceptance → the
offerEE must follow the
→offerOR can said mode
understand that the
offerEE is making an → if not follow→
acceptance offerOR may reject the
acceptance.
2. MUST BE COMMUNICATED IN USUAL &
REASONABLE MANNER..Sect 7(b)
• Case; Eliason vs Henshaw
harper’s ferry by wagon

2. MUST BE COMMUNICATED IN USUAL &
REASONABLE MANNER..Sect 7(b)
3) If the offerEE not follow the mode prescribed → the offerOR may
INSIST the offerEE.. But if the offerOR not insist, it is considered
that he accept the acceptance
Case; Wettern Electric vs Welsh Dev Agency
3. Mode of Acceptance
Topic covered …
3.1 Acceptance must be communicated
3.2 Silence is not an acceptance
3.3 Exception to communication of
acceptance
Sect 2(b) of CA 1950 Sect 3 of CA 1950
• …“signifies his • …“must do

assent” something”...
• = offerOR knows
that his offer has
been accepted by
the offerEE
• Communication – manifested from intention

• Mere intention is not an acceptance
+√ = X
X communication
intention acceptance
❑case; Powell vs Lee
headmaster
3.2 Silence is NOT an acceptance
• offerOR cannot put a condition in his offer that the silence of

the offerEE without giving any positive conduct amounted to an
acceptance.
3.2 Silence is NOT an acceptance
• Case; Fraser vs Everett
there was no rule of law saying that “silence gives consent” applicable to
mercantile contract
• Case; Felthouse vs Bindley
“if I hear no more about him, I shall consider the horse is mine”
3.3 Exception to communication of acceptance
GR: Acceptance Acceptance need

EXCEPTION
must be NOT be
communicated communicated
The situation are…

1. When the offerOR dispense with/waive the need of communication (unilateral
contract)
2. General offer
3. Reciprocal promises
4. Acceptance through Postal Rule
1. When the offerOR dispense with/waive the need of communication

(unilateral contract)
CONDITION → offerOR prescribes the specific
mode of acceptance
→ offerEE follow the prescribed mode
of acceptance
case; Carlill vs Carbolic Smoke Ball Co

CONDITION → bought the medicine from the
company
→ take the medicine as prescribed
→ still suffer influenza
Case ; Erington vs Erington
2. General offer
- The offer is made to the public at large
- Performance of the condition of the offer is sufficient to constituted
an acceptance
- Case; Carlill vs Carbolic Smoke Ball Co
3. Reciprocal promises
= system barter
• Sect 2(f) of CA 1950 – definition of reciprocal promise
“promises which form the consideration…for each other are called reciprocal
promises”
• Sect 8 of CA 1950 – exception to communication

“…the acceptance of any consideration for a reciprocal promise…is an acceptance
of the proposal”
4. Acceptance through Postal Rule
When the offerEE has to respond the acceptance via letter, there is no need an
oral communication of acceptance
Q : when the communication of acceptance is complete

against the offerOR
When the offerEE put the letter of

acceptance into the post box
Sect 4(2)(a) of CA 1950

“the communication of an acceptance is complete as against the
proposer when it is put in a course of transmission to him..”
The offerOR is bound to the

EFFECT contract irrespective of any delay of
disappearance of the letter of
acceptance
Sect 4(2)(a)
complete against
the offerOR ;when
offerEE put the
letter into post box
Effect: offerOR is
bound with the
offerEE offerOR contract
Once the offerEE posts the letter of acceptance, the OfferOR is bound to
perform his promise
• Case; Ignatius vs Bell
Condition : before
20/12
Posted : 16/12
Arrived: 25/12
Whether the acceptance is valid or not ??

Case; Householf Fire Insurance Co Ltd vs Grant
- Df offer to toshare
Plf
- Plf’s → → s/u dissappearance
- Plf claimed divident
- Df defence: there was no contract between them
Whether the acceptance is valid or not ??

Sect 4(2)(b) of CA 1950

“the communication of an acceptance is complete as against the
acceptor when it is come to the knowledge of the offerOR”
EFFECT
The offerEE is ONLY bound to the
contract when the offerOR receive the
letter of acceptance
• Sect 4(2)(b)
complete against
the offerEE ;when
offerOR received the
letter of acceptance
• Effect: offerEE is
bound with the
contract offerEE offerOR
Once the oferrOR receives the letter of acceptance, the OfferEE is

bound to perform his acceptance
Disadvantages
offerOR is already bound with the contract once the offerEE post the letter. He
will be bound eventhough the letter is delay or disappear. On the other hands,
the offerEE is not yet bound to the contract and will only bound once the
offerOR receive the letter of acceptance
Solution
offerOR is allowed to add a new term that can protect himself – as to the actual time
when the offerOR would be bound to the contract
Case; Holwell Securities Ltd vs Hughes

offerOR only will bound to the contract
when he read the said letter of
acceptance
CHAPTER 2;
Revocation of Offer
AND
Revocation of Acceptance
REVOCATION
1. When offer can be 1. When the offerEE can
made revoke his acceptance
2. How to revoke the
2. How revocation can acceptance
be made 3. When revocation of
acceptance is
effective
3. Who can make a 4. Revocation of
revocation acceptance under
postal rule
REVOCATION OF OFFER REVOCATION OF ACCEPTANCE

REVOCATION
OF
OFFER
When revocation of offer can be made
lapse
• OFFER remain open until its withdraw
revoked
by OfferOR
• Sect 5(1) OF CA 1950;
Offer may be revoked ANYTIME BEFORE acceptance is made

When revocation of offer can be made
• Case: Payne vs Cave
revocation before
• Routledge vs Grant
contract to lease a premise-have to accept within 6 weeks-revocation
is made before 6 weeks lapse
Q:whether the revocation is

VALID or not??
How revocation can be made
Modes of revocation.. Sect 6 of CA 1950..
Sect 6(a)→ Revocation by Communication

Sect 6(b)→ Revocation By Lapse of Time
Sect 6(c)→ Revocation by Failure of the
OfferEE to fulfill condition precedent to the
Acceptance
Sect 6(d)→ Revocation by death/mental
disorder of the OfferOR
1.Revocation by Communication
• Section 6(a) of CA 1950

“A proposal is revoked…by communication of notice of
revocation by the offerOR..”
Q: when the communication of revocation of offer is
complete?
• Sect 4(3)(a) ; the communication of a revocation is complete
against the person who makes it ( offerOR ) → when it is
put into a course of transmission to the person to whom it is
made (offerEE).
• Sect 4(3)(b) ; the communication of a revocation is complete
against the person whom it is made
(offerEE ) → when it comes to his knowledge
• Illustration (c) to Sect 4;
An OfferOR revokes his offer by telegram. The revocation is complete against HIM when
he posts the telegram.
→ the offer already revoked once he posts the letter of

revocation.
it is complete against the OfferEE when he receives the letter of
revocation.
→as long as he does not receive the letter of

revocation, he still can make an acceptance.
under the Postal Rule
• Sect→5(1):
revocation of offer at anytime
b4 acceptance is complete
• Principle→
in communication of acceptance is
postal rule complete when the offerEE posts
his letter of acceptance
offerOR
Principle in postalmust ensure thathis notice of revocation would
rule reach the offerEE B4 offerEE posts his letter of
acceptance
• Case: Byrne vs Van Tienhoven & Co
1000 boxes of tinplates
1/10 : Def post Letter of Offer
8/10 : Def post Letter of Revocation of Offer
11/10 : Plf received Letter of Offer
: Plf post Letter of Acceptance
15/10 : Plf verified the acceptance
20/10 : Plf received Letter of Revocation of Offer
Q:whether the revocation of offer is valid or not?
Kg of Plf: accept→revoke → √ CR
Kg of Plf: revoke→ accept → X CR
• Case: Henthorn vs Fraser
• 12.00 noon : Def post Letter of revocation of offer
• 3.50 pm : Plf post Letter of Acceptance
• 5.00 pm : Plf received Letter of Revocation
Q:whether the revocation of offer is valid or not
Kg of Plf: accept→revoke → √ CR
Kg of Plf: revoke→ accept → X CR
2.Revocation by Lapse of Time
• Sect 6(b) of CA 1950
“A proposal is revoked…by lapse of time prescribed in the proposal for its
acceptance, OR…by the lapse of reasonable time, without the
communication of the acceptance”
If time
→ the acceptance has not been made within
prescribed..
the time prescribed by the offeror
If time NOT
→ the
prescribed.. acceptance has not been made within
the REASONABLE time
“REASONABLE time” .. depend on fact/circumstances
of every case.
Case; Fraser vs Everett

- Contract to buy a mining share
-Plf were expected to mail the scrips of share end of March
and would arrive to Def on April
-the mail was posted on April and Def received on May
Ct held: Acceptance made was not within reasonable time-
mining share has a fluctuating character
Ramsgate Victoria Hotel vs Macon Works & Trading vs
Montefiore Phang Hon Chin
• Def offer to buy his share in • Failure to accept within
June reasonable time shows
• Plf made an acceptance in Nov rejection by the offerEE
• Def refused to accept the
acceptance.
• COURT HELD: the refusal was
justified since the acceptance
was made unreasonably.
3.Revocation by Failure of the OferEE to Fulfill Condition Precedent to
the Acceptance
• Sect 6(c) of CA 1950
“A proposal is revoked ..by the failure of the acceptOR to fulfill a

condition precedent to acceptance”
If the offerOR specified a mode of acceptance, the

offerEE must follow the said mode. otherwise, the
offer is automatically revoked.
3.Revocation by Failure of the OferEE to Fulfill Condition Precedent to
the Acceptance
PYM vs Campbell Financing Ltd vs Stimson
• Def offered to buy an • Def offer to buy a car

innovation. • Condition: the car must
• Condition: get approval be in good condition
from 2 engineers • The car stolen and
• Plf failed to get the recovered in damaged
approvals. condition
• Def contended that there
was no contract btw
them
4. Revocation by the Death or Mental Disorder of the OfferOR
• Sect 6(d) of CA 1950

“A proposal is revoked ..by the death or mental
disorder of the offerOR, if the fact of his deatfh or
mental disorder comes to the knowledge of the
offerEE before acceptance”
Only take effect if the offerEE aware about the death/unsoundness of

the offerOR
Case: Bradbury vs Morgan

The death of the offerOR will not terminate the offer if the acceptance has been made in
ignorance of his death
Who can revoke the offer?
• Sect 6(a) of CA 1950
“..communication of notice of revocation by the offerOR..”
REVOCATION
OF
ACCEPTANCE
When the offerEE can revoke his
acceptance
• Sect 5(2) of CA 1950
• “an acceptance may be revoked at ANYTIME B4 the communication of

its acceptance is complete against the offerOR”
→ as long as the offerOR yet to know that his

offer is accepted by offerEE, the offerEE may
revoke his acceptance
How to revoke the acceptance
• The revocation must be communicated to the offerOR
• Sect 3 of CA 1950 requires a
POSITIVE CONDUCT
When revocation of acceptance is
effective
• Sect 4(3)(a) the communication of a revocation is complete against the
person who makes it ( offerEE ) → when it he put into a course of
transmission to the offerOR
• Sect 4(3)(b) ; the communication of a revocation is complete against

the person whom it is made (offerOR ) → when it comes to his
knowledge
When revocation of acceptance is
effective
• Illustration (c) to Sect 4;
An OfferEE revokes his acceptance by telegram. The revocation is complete against HIM
when he posts the telegram.
→ the acceptance already revoked once he posts the

letter of revocation.
it is complete against the OfferOR when he receives the letter of
revocation.
→as long as he does not receive the letter of

revocation, the OFFER IS STILL OPEN
Use the SPEEDIER WAY- before the offerOR has knowledge that the
offerEE accept his offer
Revocation of acceptance under postal
rule
B4 the letter of
• Sect 5(2) of CA 1950→ acceptance reaches the
offerOR
• It is because, according to Sect 4(2)(a) & Sect 4(2)(b) of CA 1950,

communication of acceptance is complete against the offerEE once
the letter of acceptance is reaches the offerOR
→to revoke, must b4 the communication of acceptance

is complete
→i.e B4 the letter of acceptance reaches the offerOR
Revocation of acceptance under postal
rule
• Case: Dunmore vs Alexander
• Letter of acceptance = Letter of Revocation of acceptance
• Court: the acceptance is revoked
Element no 3: CONSIDERATION
1. Definition of consideration
2. Categories of Consideration
3. Necessary of Consideration
4. Exception to Consideration
5. Rules governing consideration
1. DEFINITION
• Section 2 (d) of the Contracts Act defines :

“when, at the desire of the promisor, the promisee or any other
person has done or abstained from doing …or does…or
promises…something, such act …is called a consideration”
CURRIE v MISA (1875)
Held : A valuable consideration, in the sense of the law, may

consists of some rights interests, profits or benefits accruing to the
one party; or some forbearances, detriments, losses or
responsibilities given, suffered or undertaken by the other.
2. CATEGORIES OF CONSIDERATION
• Executory Executed
consideration consideration
Past
Consideration
1. Executory Consideration
promise = action
→K. Murugesu V Nadarajah

2) Executed Consideration
Promise →Action
➔ General offer
➔ Carlill v Carbolic Smoke Ball
3) Past Consideration
Action →Promise
s.2 (d) : “…has done or abstained from doing…”
➔ provided that it is done “at the desire of the promisor”.

➔ Lampleigh V Brathwait
→ Kepong Prospecting Ltd vs A.E Schmidt
Jangan stress
alizahali
4. NECESSITY OF CONSIDERATION
• General rule : ➔ section 26.

“an agreement made without consideration is void...”
• illustration: A promise for no consideration, give B
RM1000. This is a void agreement
X CSD X CONTRACT
X CONTRACT
There are situations where the contract is valid

even though without consideration
1) section 26 (a): Contract Made on Account of
Natural Love and Affection
2) section 26 (b-1st limb): Contract to Compensate
a Past Voluntary Act
3) section 26 (b-2nd limb): Contract to Compensate For
an Act,Which the promisor Was
Legally Compellable To Do
4) section 26 (c): Contract to Pay a Statute-Barred Debt
1) section 26 (a): Contract Made on Account of
Natural Love and Affection
➔section 26 (a) :
“An agreement …without consideration is void, unless it is expressed in

writing and registered…, and is made on ccount of natural love and
affection between parties standing in a near relation to each other..”
Illustration: A, for natural love & affection, promises to give his son,
B, $1000. A put his promise to B into writing and registers it…This is a
contract
condition
The contract is binding on condition:
i) It is expressed in writing,
ii) It must be registered
iii) It is made on account of natural love and affection between
parties standing in near relation to each other.
• Case : Re Tan Soh Sim

2) section 26 (b-1st limb): Contract to
compensate a Past Voluntary Act
➔ Section 26 (b) [1st Limb] :
“An agreement made without consideration is void,

unless …it is a promise to compensate, … a person
who has already voluntarily done something
for the promisor..”
illustration : A find B’s purse and gives it to him. B
promises to give A $50. This is a contract
2 conditions :
The promisee has

It is a promise to
voluntarily done
compensate the
something for the
promisee
promisor
3) section 26 (b-2nd limb): Contract to Compensate For an
Act,Which the promisor Was Legally compellable To Do
• Section 26 (b) [2nd Limb] :

“An agreement made without consideration is void, unless …it is a promise to
compensate, …a person who has already voluntarily done something …which the
promisor was legally compellable to do…”
illustration : A support B’s infant son. B promises to pay A’s expenses
in so doing. This is a contract.
3 conditions :
The promisee has

It is a promise to
voluntarily done
compensate the
something for the
promisee
promisor
The act done is one

which the promisor
was legally
compellable to do
4) section 26 (c): Contract to Pay a Statute-
Barred Debt
• Section 26 (c) :
“An agreement made without consideration is void, unless… it is

a promise, … in writing and signed…to pay wholly or in part a
debt of which the creditor might have enforced payment but for
the law for the limitation of suits.”
illustration : A owes B $1000, but the debt is barred by limitation. A
signs a written promise to pay B $500 on account of the debt. This is a
contract”
4) section 26 (c): Contract to Pay a Statute-
Barred Debt
• ‘statute-barred debt’ ➔ a debt, which cannot be recovered
through legal action because of lapse of time fixed by law i.e. 6
years
➔ Limitation Ordinance 1953
• However, if the debtor makes a new agreement, to pay the debt;

this new agreement becomes a valid contract under section 26 (c) ,
2 conditions
the debtor made a the promise is in

fresh promise to writing and signed
pay the statute- by the debtor or his
barred debt. authorised agent.
4. RULES GOVERNING CONSIDERATION
1.Adequacy of Consideration is not important
to form a valid contract
2.Consideration Need Not Come From The

Promisee
3.Waiver of Performance
1.Adequacy of Consideration is not important to
form a valid contract
• Explanation 2 to section 26:
“An agreement to which the consent of the

promisor is freely given is not void merely
because the consideration is inadequate...”
1.Adequacy of Consideration is not important to
form a valid contract
• Illustration :
A agrees to sell a horse worth $1000 for $10. A’s consent to the
agreement was freely given. The agreement is a contract
notwithstanding the inadequacy of the consideration”
Case: → Phang Swee Kim vs Beh I Hock
→ Bolton vs Madden
B. Consideration Need Not
Come From The Promisee
➔ section 2 (d) :
“…promisee or any other person…”
➔ Venkata Chinnaya Vs. Verikataramaya

i- English Law
The general rule: ‘payment of a smaller sum is not a

satisfaction (discharge) of an obligation to pay a larger sum’
➔Pinnel’s case – hutang £8 10s

bayar £5 2s
• Therefore, waiver of performance by the creditor is not binding on
him until and unless the debtor give something value as a
consideration. By then, the whole debt is discharged.
• ‘something value’ is considered as a consideration for such waiver.
• E.g : debt $ 10 → pay $8 + a banana
: a banana = $2
• Hence, under English law :
➔ Waiver of performance with consideration is
binding
Owed $ 10, pay $5 + banana → √consideration
➔ Waiver of performance without consideration is void.
Owed $ 10, pay $5 ONLY→ X consideration

ii- Malaysian Law
In contrast, the Pinnel’s case has no application in Malaysia.

➔ section 64 :
“Every promisee may dispense with or remit,
wholly or in part, the performance of the
promise made to him…”
• illustration : A promises to paint a picture for B. B afterwards forbids
him to do so. A is no longer bound to perform the promise
• Case : Pan Ah Ba
• + deposit RM10 K
Methods of Waiver of Performance
i) Payment of a smaller sum in discharge of a larger sum
• Illustrations (b),
A owes B $500. A pays to B, and B accepts in satisfaction of the whole debt, $2000. the whole debt is discharges.
ii) Part payment by a 3rd party
• Illustrations (c),
A owes B $5000. C pays to B $1000 and B accepts them, in satisfaction of his claim on A. This payment is discharge of the whole
claim.
Case : HIRACHAND PUNAMCHAND vs TEMPLE → 3rd party : Father

KERPA SINGH BARIAM SINGH → 3rd party : Son
iii) When a person accepts an agreed sum in
satisfaction of an unascertained debt.
illustrations (d):
A owes B under a contract, a sum of money, the amount of which
has not been ascertained. A, without ascertaining the amount gives
to B and B, in satisfaction of thereof, accepts the sum of $2000. this is
a discharged of the whole debt whatever may be its amount
iv) Composition with creditors for the payment
of a smaller sum.
illustration (e) :
A owes B $2000 and is also indebted to other creditors. A makes an
arrangement with his creditors, including B to pay them a
composition of fifty sen in the ringgit upon their respective demands.
Payment to B of $1000 is a discharge of B’s demand
Thank you
Element no 4: CAPACITY
1. Definition of capacity
2. Minor & it’s Exception
3. Insane / Drunken Person
Definition of Capacity
capacity
CAPACITY = competency to
enter into a contract
SECTION 10(1)
OF CA 1950 Contract is enforceable
If the parties of the contract
Have capacity to enter into

the contract
Who has capacity?
A person is competent if…

SECTION 11 OF CA 1950
a) Age of majority
b) Of sound mind
c) Not disqualified from contracting

by any law
Sect 10(1) + Sect 11
NOT competent
to enter into contract
a) minor/infant
b) insane/drunken
c) bankrupt
a) minor
= Age OF Majority Act 1971;
definition A person is attain the age of 18
i.e: minor is a person under the age of 18
Effect of
contract made Section 10 + Section 11
by a minor → Contract is void

→Because minor is not
competent to enter into
a contract
a) minor
Other effect…
→Minor cannot be made liable upon the
contract
→Minor cannot enforce the contract
→Other party of the contract cannot sue
minor for the breach of contract
→Minor cannot sue the other party
a) minor
Mohori Bibee vs Dhurmodas Ghose
Tan Hee Juan vs The Boon Keat
transfer
a) minor
Exception :
(contract of minor is liable in the case of…)
a) Contract for necessaries

b) Beneficial contract/contract of
apprenticeship
c) Contract for scholarship
d) Contract for insurance
e) Contract made under the age of
majority act 1971
Exception of Minor
a) contract for necessaries
SECTION 69 OF CA 1950
Minor is bound to the contract
if the contract is for his necessaries
A person supplies the necessaries

to the minor
Is entitled to be reimbursed from

the property of the infant
(reasonable sum)
Exception of Minor
To determine
necessaries..
a) Nature of the goods/services

b) Minor’s actual need
c) Minor’s condition of life
…vary according to each case
Exception of Minor
Case
Gov of Malaysia vs Gurcharand Singh
Ct held:
1. CR valid
2. Professional/vocational trainng → necessary for Def as
to qualify him to become a teacher
3. Amount to be reimbursed → base on actual sum of his
expenses within 3 years 10 month
Exception of Minor
Nash vs Inman
1- £ 145
2- 11 sets
3- waistcoats
4- fancy
5- father adequately supply
Exception of Minor
b) contract for apprenticeship
Minor is bound by a contract which beneficial

to them.
E,g: employment contract
minor obtain education, training and
beneficial experiences
Fit them to earn living at a suitable field in

future
Exception of Minor
Case: Doyle vs White City Stadium Ltd
Children and Young Persons (employment) Act

1966
Sect 13.. “any child or young person shall be
competent to enter into s contract of service under
this Act”
..can only sue
...cannot recover damages from the minor
Exception of Minor
Sect 13 can be applied as long as it is carries justice
Case : De Francesco Vs Barnum

Condition of the contract of employment
CANNOT : marry
: get any other allowance/wages
: dance for others without the Plf consent
Exception of Minor
c) contract for scholarship
CONTRACTA (AMMENDMENT) ACT 1976

Sect 4 : “no scholarship agreement shall be validated on the
ground that the scholar entering into such an agreement is not
for the age of majority”
Case :
Gov of Malaysia vs Gurcharand Singh
Exception of Minor
d) contract for insurance
Insurance Act 1963 (revised 1972)

Minor ↑ 10 years : may enter contract
insurance
Minor ↓ 16 years: must obtain written consent
from parent
Exception of Minor
e) contract made under the AGE OF MAJORITY ACT 1971
Sect 4 of age of majority Act 1971

Validate the contract entered by ANYBODY (
no effect to their capacity)
In the terms of :
Ramachandran vs → marriage
Balakrishnan
→ divorce
→ dower
→ adoption
Exception of Minor
e) contract made under the AGE OF MAJORITY ACT 1971
muslim Non muslim

Sec 10 Law Reform
Sec 8 of Islamic Family
Malaysia (Marriage and
Law (Federal Territory)
Divorce) Act 1976
Act 1984
Male → 18 Male → 18
Female → 16 Female → 16
Contract by insane person/drunken
Section +
Section 11 +
Section
10(1) 12(1)
Illustration (a) and (b)
a) Situation of insane person

b) Situation of sane person
Contract by insane person/drunken
Malaysian Law English Law
VOID VOIDABLE
Sect 10(1) + Sect 11 + Sect 12 Imperial Loan vs Stone

Kawan2, rajin2 baca buku tau…
Element no 5: INTENTION TO CREAT
LEGAL RELATION
1. Type of agreement
2. Legal presumption
Intention to sue
Intention to create legal intention
agreement
Commercial/ Social,
business domestic,
family
i-Commercial Agreement
Presumption of To rebut →
law → There is an Subject to a
intention written agreement
Commercial Agreement- cases
• Low Kar Yit vs Mohd Isa
“subject to a formal contract”

• Lim Keng Seong vs Yeo Ah Tee
• Daiman Dev Sdn Bhd vs Matthew Lui Chin Teck

i-Family Agreement
Presumption of
law → There is NO Balfour vs Balfour
intention
Merrit vs Merrit
Element no 6: CERTAIN
1. Illustration of Sect 30
2. Legal effect
Means : clear, definite, Section 30
specific as to avoid Effect of Uncertain →
difficulty contract is void
Illustration (a)
Illustration (b) Karuppan Chetty vs Suah
Illustration (e) Tian
Illustration (f)
Element no 7: FREE CONSENT
1. Definition of consent & free consent

2. Legal effect
FREE CONSENT
REQUIREMENT OF FREE
CONSENT
Sect 10(1) of CA 1950:
All Agreements are contracts if they are made by free
consent of parties..
What is the meaning of FREE

CONSENT ?
Sect 13 of CA 1950:
→2 or more persons
→Agreed upon
→The same thing in the same sense
FREE CONSENT
What is the meaning of free
consent?
Sect 14 of CA 1950: coercion
NOT caused by..
Undue influence
Effect: fraud
Void/voidable
mispresentation
mistake
FREE CONSENT
Sect 2(g) CA 1950:
void “an agreement NOT enforceable by law”
→ Mistake
Sect 2(i) CA 1950:
“an agreement which is enforceable by law at
voidable the option of one…of the parties”
→ Coercion → Undue influence

→ Fraud → Mispresentation
COERCION
Definition of coercion
Sect 15:
“Coercion” is the committing, or threatening to commit any
act forbidden by the Penal Code, …with the intention of
causing any person to enter into an agreement.”
Effect of coercion
Sect 15 → voidable
COERCION
Kesarmal s/o Letchman Das vs Valiappa Chettiar
transfer
Chin Nam Bee Dev Sdn Bhd vs Tai Kim Choo
+ $ 4000
UNDUE INFLUENCE
Definition of undue influence
Sect 16(1) CA 1950:
“a contract is said to be induced by “undue influence” where the
relations subsisting between the parties are such that one of the parties
is in position to dominate the will of the other and uses that position to
obtain an unfair advantage over the other.”
Effect of undue influence

UNDUE INFLUENCE
2 essential elements :
a) The domination of the will by one party over the other party.
b) The dominating party obtains an unfair advantage in the

contract.
presumption of UNDUE INFLUENCE
…section 16 (2) (a) :

Illustration (a) Sect 16 → Illustration (b) Sect 16
“ where he makes a contract with a

“…where he holds a real or apparent person whose mental capacity is
authority over the other, or where he temporarily or permanently affected by
stands in a fiduciary relation to the other; reason of age, illness, or mental or bodily
or distress.”
UNDUE INFLUENCE
• Case:
→Salwath Haneem vs Hadjee Abdullah
→Datuk Jaginder Singh Vs Tara Rajaratnam

FRAUD
• Definition of fraud
• Sect 17:
“Fraud” includes any …acts committed by a party to contract …with
intent to deceive another party…
Effect of fraud
FRAUD
→Derry vs Peek
“Fraud is proven when …”
➔Illustration (a) to section 19 :
“A, intending to deceive B, falsely represents that 500

gantangs of indigo are made annually at A’s factory,
and thereby induces B to buy the factory. The contract
is voidable at the option of B.
FRAUD
Elements of ‘Fraud’
1. False statement / representation.

2. Given with intention to deceive.
3. The representee must have relied on the representation.
FRAUD
• Case;
• → Kheng Chwee Lian vs Wong Tak Thong
Transfer land
• → Letchemy Arumugam vs Annamalay
FRAUD
Burden of proof
On those who claim that there is
fraudulent
He has to prove all the elements of fraud

FRAUD
Q: Does Silence Constitute Fraud?
➔Explanation to section 17 :
“Mere silence …is not fraud, unless …it is the duty of
the person keeping silence to speak, or unless his
silence is …equivalent to speech.”
FRAUD
➔Illustration (a) to section 17 :
“A sells, by auction, to B, a horse which A knows to be unsound. A

says nothing to B about the horse’s unsoundness. This is not fraud.
FRAUD
• However, in certain circumstances, silence may constitute a fraud.
➔Illustration (c) to section 17 :
“B says to A, “if you do not deny it, I shall assume that the horse is
sound.” A says nothing. Here, A’s silence is equivalent to speech.”
MISPRESENTATION
Definition of mispresentation
• Sect 18:
It is a false representation given by one of the parties.
However, it was without intention to deceive.
Effect of mispresentation
•Sect 19(1) → voidable
•Sect 19(2) Plf may insist that the contract shall be performed
MISPRESENTATION
Elements of ‘Misrepresentation’ :
1. False representation.
2. One of fact, not a mere expression of opinion.
3. Addressed to the party misled.
4. Induce the misled party to enter into the contract.
MISPRESENTATION
• Illustration (b) Section 19
• ”A, by a mispresentation, leads B erraneously to believe that 500 gantangs of
indigo are made annually at A’s factory, which shows that 400 gantangs of indigo
have been made. After this, B buy the factory. The contract does not voidable on
account of A’s mispresentation”
• Duty to exercise diligence

• Case Tan Chye Chew vs Eastern Mining Metals Co Ltd
172
MISTAKE
Definition of mistake
• Sect 21:
Where both the parties … are under a mistake as to a
matter of fact essential to the agreement, the agreement is
void.”
Effect of mistake
•Sect 21 → void
•Sect 66 →any advantage→ bound to restore/make
compensation
MISTAKE
Elements of ‘Mistake’
1) made by both parties (mutual mistake)

2) relating to “a matter of fact essential to the agreement”.
MISTAKE
‘ Q : ‘Fact Essential to the Agreement’?
1) Mistake as to the existence of the subject matter.
➔Illustration (b) to section 21 :

A agrees to buy from B a certain horse. But the horse was
dead at the time of the bargain, though neither party was
aware of the fact. The agreement is void.
MISTAKE
2. Mistake as to the identity of the subject matter.
Raffles V Wichelhaus
➔cargo of cotton “The Peerless”

➔ from Bombay to London
→ different times.
• Held : The contract was void
MISTAKE
3. Mistake as to the possibility of performing the
contract.
• Sheikh Brothers V Ochsner
• license and authority to cut and manufacture all sisal growing on
5000 acres of land in Kenya.
• Held : The agreement was void.
Unilateral MISTAKE
➔ Section 23
• ➔ not voidable, valid
➔ because a person is expected to
take reasonable care to ascertain
what he is contracting about.
3
Discharge of Contract
Modes of discharge of contract
1) by performance of the contract, or
2) by agreement between the parties, or
3) by frustration, or
4) by breach of contract
1. DISCHARGE BY PERFORMANCE
• The usual mode.
• Because initially, the parties are bound to perform their contract.
• ➔ section 38 (1)
• Once a contract is performed, the contract is discharged.
• If only one party has performed, he alone will be discharged.
• Have to determine;
i-time for performance
ii- place fo performance
iii-person that charge the performance
1.1 Time for Performance
IF TIME IS ESSENTIAL
• any delay by one party, the other party is discharged

• the contract is voidable.
• Section 56 (1)
• Sim Chio Huat vs Wong Ted Fui
1.1 Time for Performance
IF TIME IS NOT ESSENTIAL
→ the contract is not voidable

→but the promisee is entitled to
compensation for any loss he suffered.
➔ section 56 (2)
• 1.2 Place for Performance
PLACE IS SPECIFIC
→ must perform at that place

PLACE IS not SPECIFIC
→ the promisor must ask the promisee

to specify the place.
➔ section 50
1.3 Performance by Whom?
If it is agreed , performance by
the promisor himself
→ it must be performed by him personally.
➔ section 41
• 1.3 Performance by Whom?
• However, in some situations, the promisor may employ a competent
person to perform the contract,
→ but the promisor will be personally liable
Performance by Third Party
• If the promisee accepts, the promisor is discharged.
➔ Section 42
HAJI NIK ISHAK v NIK ZAINAB
2. DISCHARGE BY AGREEMENT
• In the form of substitution / alteration / rescission of the original
contract.
• →Section 63
• However, must be from all parties
• Also in the form of waiver / release / remission.
• ➔ section 64
3) Discharge by frustration
i- The contract itself

impossible. ➔ s. 57 (1) ii) The contract becomes
impossible ➔ section 57 (2)
Illustration (a) to s. 57:
“A agrees with B to discover ➔ because of supervening
treasure by magic..” impossibility
3) Discharge by frustration..supervening
event
Happen in several situations:
i) Destruction of the subject matter
➔ TAYLOR v CALDWELL
ii) Supervening event which defeat the

whole purpose or object of the
contract.
→ KRELL v HENRY
event
iii) Death or personal incapacity
→Illustration (b) Sect 57
→ Illustration (e) Sect 57
iv) Change in the law or outbreak of war.

→ Illustration (d) Sect 57
event
• Note:
• the contract is discharged because of the impossibility factors.

• not due to any party’s fault
• Therefore, either party cannot sue each other
• if either party has received any advantage under the contract, he
has to return it.
• ➔ section 66
4) by breach of contract
• When a promisor fails or refuses to perform, the other party may
repudiate / rescind the contract.
➔ Section 40
→ Smith Construction Co Ltd vs Phit Kirivata
Faham tak…?
alizahali
4
Remedies for
Breach of Contract
Types of remedies…
1) Rescission of contract
2) Damages
3) Specific Performance
4) Injunction
5) Quantum Meruit
RESCISSION OF CONTRACT
• If a party breached → the other party has the right to rescind /
terminate the contract.
→section 40
“when a party to a contract has refused to perform or disabled himself
from performing his contract…the promisee may put an end to the
contract..”
RESCISSION OF CONTRACT
• Any benefit he received → defaulted party must restored/returned
→ Sect 65
• “the party rescinding a voidable contract shall if he has received any
benefit thereunder from another party ..restore the benefit … to the
person whom it was received”
→Illustration (c) to Sect 66
→Muralidhar Chatterjee vs International Film Co Ltd
DAMAGES
• granted to a party as compensation for the damage, loss or injury

suffered due to a breach of contract.
• ➔ Section 76
“A person who rightly rescinds a contract is entitled to compensation for any
damage which he has sustained through the non fulfillment of the contract”
DAMAGES Categories of
Damages
3 categories under common law :

i-Substantial damages
ii- Nominal damages
iii- Exemplary damages

Categories of
DAMAGES Damages
i. Substantial damages
to put the plaintiff in the position he would have

enjoyed
ii. Nominal damages
small token awarded due to the breach but no actual loss.
iii. Exemplary damages

sum awarded far greater than the actual loss
DAMAGES Types of
Damages
Under Malaysian law ; 3 types:
… based on Section 74(1) and 75

→ Hadley vs Baxendale
1) Damages arising naturally

2) Special damages for special loss sustained
3) Liquidated damages
Types of
DAMAGES Damages
1) Damages arising naturally

- according to the usual course of things resulting from the breach
- direct loss
➔ section 74 (1)
Types of
DAMAGES Damages
2) Special damages for any special loss sustained

- granted for loss of profit
- plaintiff must prove that the defendant could
foresee the loss.
➔section 74 (1)
➔Tham Cheow Toh vs Associated Metal
Smelters Ltd
➔Victoria Laundry (Windsor) Ltd vd Newman Industries

Ktd
Types of
Damages
DAMAGES
3) Liquidated damages
→Section 75
the amount of damages is fixed by the parties prior to the
agreement
SPECIFIC PERFORMANCE
An order of the Court, to the party at fault to carry out the contract
according to its terms.
→Sect 21 of SRA 1950;

“the jurisdiction of decree SP is discretionary”
SPECIFIC PERFORMANCE
When Specific Performance May Be Granted?
➔ section 11 of the SRA provides 5 circumstances :

SP may be
SPECIFIC PERFORMANCE granted …
1- Section 11 (1) (a) :
“…when the act agreed to be done is … of a trust…”
2) Section 11 (1) (b) :
“…when there exists no standard for ascertaining the actual damage ...”
SP may be
3) Section 11 (1) (c) :

“…when … pecuniary compensation … would not afford adequate relief …”
➔ Illustration :
“A contracts with B to sell him a house for RM1000..
4) Section 11 (1) (d) :

“…when it is probable that pecuniary compensation cannot be got ...”
SP may be
5) Section 11 (2) :
“…when there is a breach of a contract to transfer immovable property

cannot be adequately relieved by compensation in money.”
→ ZAIBUN SA BT SYED AHMAD v LOH KOON MOY & Anor

SP may NOT
SPECIFIC PERFORMANCE be granted
…
When Specific Performance May NOT Be Granted?

Section 20 of the SRA
1) Section 20 (1) (a) :

“…compensation in money is an adequate relief.”
2) Section 20 (1) (b) :
“…a contract which is so dependent on the personal qualifications or volition

of the parties.”
SP may NOT
…
3) Section 20 (1) (c) :
“…a contract the terms of which the court cannot find with reasonable
certainty.”
4) Section 20 (1) (d) :
“…a contract which in its nature revocable.”

5) Section 20 (1) (e) :
“…a contract made by trustee either in excess of their powers or in breach of
their trust”
SP may NOT
…
6) Section 20 (1) (f) :
“…a contract made by or on behalf of a corporation or public company created

for special purposes or by the promoters of the company, which is in excess of its
powers.”
7) Section 20 (1) (g) :
“…a contract the performance of which involves the performance of a

continuous duty extending over a longer period than three years from its date.”
SP may NOT
…
8) Section 20 (1) (h) :
“…a contract of which material part of the subject matter supposed by both
parties to exist, has, before it has been made, ceased to exist.”
9) Section 20 (2) :
“…a contract which provide a provision to refer a controversy to arbitration.”

SP may NOT
…
10) Section 20 (2) (a) :

“…a contract which give the plaintiff unfair advantage over the defendant,
though they may be no fraud or misspresentation on the part of the plaintiff .”
11) Section 20 (2) (b) :

“…where the performance of the contract would involve some hardship to the
defendant which he did not foresee. Whereas its non performance would
involve no hardship on the plaintiff.”
INJUNCTION
• A Court’s order to restrain the doing, continuance or repetition of
some wrongful conduct, which is against the contract.
• Sect 50 SRA 1950;
“Prevention relief is granted at the discretion of the court by injunction;
temporary or perpetual”
INJUNCTION
• Types of Injunction
1. Temporary injunction
2. Perpetual injunction
INJUNCTION
1) Temporary injunction
- Known as Interlocutory Injunction/Interim Injunction
- Purpose → to maintain the status quo of the parties pending the
resolution of a legal action
➔ Section 51 (1) SRA 1960:

“Temporary Injunctions are … granted at any period of a suit…”
American Cynamid Co vs Ethicon
INJUNCTION
2) Perpetual injunction
➔ Section 51 (2) SRA 1960

➔ to prohibit the defendant permanently
➔only granted after a full trial by the Court
➔Neoh Siew Eng vs Too Chee Kwong
When Injunction
INJUNCTION Cannot Be Granted?
Whenever Specific Performance could not be

granted, Injunction also cannot be granted
➔ section 54 (f) of the SRA

When Injunction
INJUNCTION Cannot Be Granted?
Exception :
➔Section 55 of the SRA 1950
Injunction can be granted for the negative agreement.

→Lumley vs Wagner
→Pertama Cabaret Nite Club Sdn Bhd vs Roman Tam
QUANTUM MERUIT
• It is a claim for reasonable remuneration for work done or services
supplied
When Quantum
Meruit Can Be
QUANTUM MERUIT Claimed?
• 2 kinds of cases :
1) Where one party abandons /refuses to perform the contract.

→ Planche vs Colburn
2) Where work has been performed under a void contract.
→ Craven Ellis vs Cannons Ltd

CONTRACT

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CONTRACT

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CHAPTER 1

2. Section 2(h) of Contract Act 1950;

“ALL CONTRACTS ARE AGREEMENTS

What will happen if one of the element is not

• “when one person signifies to another his willingness to do …

Sect 2(a) of Contract Act 1950

OFFER made by offeror

Making the Offer

Sect. 9 of Contract Act 1950

writing verbal conduct

Specific Offer General Offer

Between the parties

At the stage of negotiation

Which might lead to an offer

offer Invitation to treat

• A does something • A does something

= making acceptance by responding the offer

2. COELHO vs PUBLIC SERVICES

CARLILL vs CARBOLIC SMOKE BALL COMPANY

withdraw his OFFER at ANYTIME before the SELLER

seller = making acceptance

2. PRESTON CORP vs EDWARD LEONG

bidders = the one who bid the price

• “when the person to whom the proposal is made signifies

Sect 2(b) of Contract Act 1950

Made by the offerror

MUST BE ABSOLUTE & Sect 7(a) CA 1950

If the OferrOR agrees with the

▪ ORIGINAL terms will become VOID

• Rejection of the original offer

STEVENSON JAQUES vs McLEAN

harper’s ferry by wagon

Sect 2(b) of CA 1950 Sect 3 of CA 1950

• …“signifies his • …“must do

• Communication – manifested from intention

❑case; Powell vs Lee

• offerOR cannot put a condition in his offer that the silence of

GR: Acceptance Acceptance need

The situation are…

1. When the offerOR dispense with/waive the need of communication

case; Carlill vs Carbolic Smoke Ball Co

• Sect 8 of CA 1950 – exception to communication

Q : when the communication of acceptance is complete

When the offerEE put the letter of

Sect 4(2)(a) of CA 1950

The offerOR is bound to the

• Case; Ignatius vs Bell

Whether the acceptance is valid or not ??

Case; Householf Fire Insurance Co Ltd vs Grant

Whether the acceptance is valid or not ??

Sect 4(2)(b) of CA 1950

Once the oferrOR receives the letter of acceptance, the OfferEE is

Case; Holwell Securities Ltd vs Hughes

REVOCATION OF OFFER REVOCATION OF ACCEPTANCE

• Sect 5(1) OF CA 1950;

Offer may be revoked ANYTIME BEFORE acceptance is made

Q:whether the revocation is

Sect 6(a)→ Revocation by Communication

• Section 6(a) of CA 1950