Para 2.6 — GOODS_MANUAL

2.7 Lawfulness of object The consideration or object of an agreement is lawful, unless it is forbidden by law or is of such a nature that if permitted, it would defeat the provisions of any law, or is fraudulent or involves or implies injury to the fraudulent property of another or the court regards it as immoral or opposed to public policy. In each of these cases the consideration or object of an agreement is said to be unlawful.

2.8 Communication of an Offer or Proposal The communication of a proposal is complete when it comes to the knowledge of the person to whom it is made. A time is generally provided in the tender forms for submission of the tender. Purchaser is not bound to consider a tender, which is received beyond that time.

2.9 Communication of Acceptance 1. A date is invariably fixed in tender forms upto which tenders are open for acceptance. A proposal or offer stands revoked by the lapse of time prescribed in such offer for its acceptance. If, therefore, in case it is not possible to decide a tender within the period of validity of the offer as originally made, the consent of the bidder firm should be obtained to keep the offer open for further period or periods. 2. The communication of an acceptance is complete as against the proposer or offerer, where it is put in the course of transmission to him, to be out of the power of the acceptor, and it is complete as against the acceptor when it comes to the knowledge of the proposer or offerer. The medium of communication in Government contracts is generally by post and the acceptance is, therefore, complete as soon as it is posted. So that there might be no possibility of a dispute regarding the date of communication of acceptance, it should be sent to the correct address by some authentic foolproof mode like registered post acknowledgement due, etc.

2.6 Consideration Consideration is something which is advantageous to the promisor, or which is onerous or disadvantageous to the promisee. Inadequacy of consideration is, however, not a ground avoiding the contract. But an act, forbearance or promise which is contemplation of law has no value is no consideration and likewise an actor a promise which is illegal or impossible has no value.

2.10 Acceptance to be identical with Proposal. If the terms of the tender or the tender, as revised, and modified, are not accepted or if the terms of the offer and the acceptance are not the same, the acceptance remains a mere counter-offer and there is no concluded contract. It should, therefore, be ensured that the terms incorporated in the acceptance are not at variance with the offer or the tender and that none of the terms of the tender are left out. In case, uncertain terms are used by the bidders, clarifications should be obtained before such tenders are considered for acceptance. If it is considered that a counter-offer should be made, such counteroffer should be carefully drafted, as a contract is to take effect on acceptance thereof. If the subject matter of the contract is impossible of fulfilment or is in itself in violation of law, such contract is void.

2.11 Withdrawal of an Offer or Proposal 1. In cases where the bidder has offered to keep its offer open for a specified period but without any consideration (e.g., bid security is not asked/ waived/ exempted/ not deposited, in any form), he may withdraw/ revise/ modify its offer at any time before its acceptance by the accepting authority (i.e., dispatch of the acceptance from the accepting authority, even though it may not have reached the bidder). No legal obligations shall arise from such withdrawal, revision, or modification of the offer. 2. Where, however, a bidder has agreed to keep his offer open for a specified period for a consideration (e.g., Bid Security, or Bid Securing Declaration, in any form, deposited by the bidder), then withdrawal/ revision/ modification of such an offer by the bidder before the specified period would entitle the accepting authority to forfeit the Bid Security and/ or invoke Bid Securing Declaration or any other relevant clause in this regard, in the Tender Document, for any other action. However, even in such a case, no legal obligations shall arise if such a withdrawal, revision, or modification reaches the accepting authority before the tender's opening date and time. In any case, the offer lapses automatically after the validity of the offer is over.

2.12 Withdrawal of Acceptance An acceptance can be withdrawn before such acceptance comes to the knowledge of the bidder. A telegraphic revocation of acceptance, which reaches the bidder before the letter of acceptance, will be a valid revocation.