GCE Commerce 1990 Question 24

Question 24

Law of Contract

Auctions and Tenders become binding when they are

  1. A.accepted
  2. B.offered
  3. C.received
  4. D.advertised
  5. E.communicated
Show the answer and explanation

Answer: A (accepted)

Explanation

A bid at an auction or a tender is only an offer; it binds when accepted (fall of the hammer, award of the tender).